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Wealth Professional | 13 Oct 2015, 09:00 AM Agree 0
A recent stat from one of the big banks suggests advisors have a real opportunity to better prepare clients for the transfer of real estate wealth
  • Bob Jamieson | 13 Oct 2015, 05:24 PM Agree 0
    The example has some errors.
    The way it reads now would imply that, if the property has not gained in value after becoming a principle residence, no tax would apply. This is not correct.

    In particular:
    - it does not refer to the increase in value of the cottage over its original cost (less reno costs), prior to becoming a principle residence.
    - it should note that tax is applied to only 50% of the capital gain
    - also, renovation costs done after it became (= is claimed as) the principle residence are not relevant.
  • Will Ashworth | 14 Oct 2015, 09:07 AM Agree 0
    Bob,

    Thanks for picking up on the mistakes in the paragraph above. I've fixed that to hopefully make sense.

    Just another reason why advisors earn their keep.

    Keep the great comments coming.
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