[Solved] User and comment mentioning sometimes corrupts comments
The following comment was left on my site. The user and comment mention plugin interpreted the # 1 and # 2 as comment references, which isn't a problem, however it also corrupted the link at the end. Rather than linking it, some of the html code ended up in the comment. See attached file.
Introvert, your post below is wrong.
Your point #1 stating there is a 50% rule is wrong. Here is a quote from the CRA Income Tax Rulings Directorate:
”There is no specific percentage or threshold which may be used in determining whether the particular change in use of a particular property is ancillary to the use of the property as the taxpayer’s principal residence.”
Your point #2 is also wrong; you say: “you don’t make any structural changes to the property”.
The majority of suites have a kitchen and a separate entrance, both of which are deemed structural changes by CRA.
Here is a quote from the CRA Income Tax Rulings Directorate regarding structural changes:
”...such changes must be of a more permanent nature, such as the installation of a separate entry or kitchen...”
The bottom line for you Introvert is your GH house has appreciated by about $350k over the past few years and if your suite is 40% of your house then you have a capital gains liability of about $140,000. If you sold today you would declare $140,000 capital gains and pay income tax on $75,000, which is added to your income. Your capital gains tax bill would be about $35,000.
Could you please leave us this comment URL to allow us to check it?
Thank you for letting us know, this issue will be fixed in the next version release. Please wait for the next update it'll come soon.
Thank you very much!