Selling my house in my country and bringing the proceeds here in the future

[brian999x]

I have read already a few threads about this. So my situation is:

A) I have a house under my name and my mother lives there and as long as she needs the house, I won't be selling it in my origin home country. So maybe in another 10 years or less, I will be selling the house and bringing the proceeds to Canada.
B) The house was bought in 2008 for 150k CAD
C) I just recently learned that I should be declaring if I have property abroad above 100k. I did not do this as I have let H&R do my taxes.
D) I came in as a student in 2013 and became a PR in 2017. Should I look for the fair market value at that time? Like it's very difficult to know as I was not planning to sell it at that time. There is a Government Zonal Value but nobody follows that. It would be to my disadvantage to follow it to as it is always lower and would just increase my capital gains later on?

My question are:
1) What kind of tax advisor do I need?
2) If I declare my property now, is there anyway to avoid penalty and would I be paying more in my taxes for the next years for this property.
3) This does not qualify for your p

 

[steaky]

I have read already a few threads about this. So my situation is:

A) I have a house under my name and my mother lives there and as long as she needs the house, I won't be selling it in my origin home country. So maybe in another 10 years or less, I will be selling the house and bringing the proceeds to Canada.
B) The house was bought in 2008 for 150k CAD
C) I just recently learned that I should be declaring if I have property abroad above 100k. I did not do this as I have let H&R do my taxes.
D) I came in as a student in 2013 and became a PR in 2017. Should I look for the fair market value at that time? Like it's very difficult to know as I was not planning to sell it at that time. There is a Government Zonal Value but nobody follows that. It would be to my disadvantage to follow it to as it is always lower and would just increase my capital gains later on?

My question are:
1) What kind of tax advisor do I need?
2) If I declare my property now, is there anyway to avoid penalty and would I be paying more in my taxes for the next years for this property.
3) This does not qualify for your p

Yes, you need to know the adjusted cost base (i.e. fair market value) of the property at the time you became a Canadian tax resident.

 

[Naheulbeuck]

I have read already a few threads about this. So my situation is:

A) I have a house under my name and my mother lives there and as long as she needs the house, I won't be selling it in my origin home country. So maybe in another 10 years or less, I will be selling the house and bringing the proceeds to Canada.
B) The house was bought in 2008 for 150k CAD
C) I just recently learned that I should be declaring if I have property abroad above 100k. I did not do this as I have let H&R do my taxes.
D) I came in as a student in 2013 and became a PR in 2017. Should I look for the fair market value at that time? Like it's very difficult to know as I was not planning to sell it at that time. There is a Government Zonal Value but nobody follows that. It would be to my disadvantage to follow it to as it is always lower and would just increase my capital gains later on?

My question are:
1) What kind of tax advisor do I need?
2) If I declare my property now, is there anyway to avoid penalty and would I be paying more in my taxes for the next years for this property.
3) This does not qualify for your p

It really depends whether CRA will consider your property a personal use property or not, unfortunately that is done on a case by case basis. Since you don't keep it for your personal use it plays against you, but the key I think is to determine if your mother pays rent or compensates you at all.

If you don't get compensation, or little, I'd say you'd have a fairly strong case that it is a personal use property, the only thing that isn't clear is whether that still applies if it is during the whole year (CRA has often given the example of a property rented PART of the year with no expectation of profit).

If you earned income on it, you'd need to correct your tax filings, for that look into the Voluntary Disclosure Program, that should avoid some of the penalties.

As mentioned, you would need to determine (with a reasonable amount of supporting evidence) the value at the time you became a tax resident of Canada (nothing to do with your PR date). Often, if not planned at the time, it is indeed quite difficult and you'll likely need to hire a specialist to conduct research into the price of similar properties sold/acquired at that time.