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International real estate gains - taxable in Canada?

bibi.can

Newbie
Jan 31, 2013
2
0
I am in need of some advice.
I am a permanent resident of Canada. When I moved here, 4 years ago, I owned one third of a property in Brazil as a result of an inheritance. I have owned this property since I was a child, along with my mother and sister.
Last year my mother sold it (with my consent and using a power of attorney I left for her) and with her share of the money she bought a new property for herself, with her name only in the title. My money share went straight to her bank account as I agreed to give it to her, so this money after the sale was never actually "mine" per se. It never touched a Canadian bank account.
I guess my question is, is it considered capital gain here? Do I have to file this money as income in Canada? Even though it was given to my mother? Or should I not even mention it in my taxes here?
We know in Brazil this money will not be taxed and I am exempt from filing taxes there.

Any help will be greatly appreciated.
Thank you!
 

steaky

VIP Member
Nov 11, 2008
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Was this property being your residence before you came to Canada? If so, there should be no capital gain tax.
 

bibi.can

Newbie
Jan 31, 2013
2
0
Yes it was. I used to live there before moving here. I never declared that property upon landing in canada or in my canadian income tax. When I purchased a home in Canada though, my husband and I only qualified for half the first time homebuyers benefits as we were told inheriting a property anywhere in the world makes you not a first time home buyer. But anyways...

So I don't have to worry about declaring capital gains on it? Could this money be considered ordinary income as oposed to capital gains?