Who it’s for
What’s included
- Definition: Adjusted cost base The cost of an asset for tax purposes: the purchase price plus certain costs and improvements. It’s used to calculate a capital gain. See the glossary calculation
- Sale of buildings, cottages or land
- Sale of shares, funds and other investments
- Principal residence designation
- Use of capital losses
- Advice before you sell
Documents to prepare
Tick them off as you go. Nothing is saved or sent.
Missing a document? Call us and we’ll guide you.
Dates to watch
- Personal tax returns · in 6 monthsDefinition: T1 The federal personal income tax return, filed with the Canada Revenue Agency. See the glossary and Definition: TP-1 The Quebec personal income tax return, filed with Revenu Québec. See the glossary returns due, and any 2026 balance owing must be paid.Add to calendar : Personal tax returns, April 30, 2027
Frequently asked questions
Is the sale of my principal residence taxable?
Usually not, thanks to the principal residence exemption. But the sale must still be reported, even when the gain is fully exempt. Forgetting can lead to a penalty, so we handle the designation for you.
How much of a capital gain is taxable?
Under current rules, half of the capital gain is added to your taxable income. Capital losses can reduce that amount, this year or later.
I’m selling a cottage or a rental property. Can I reduce the tax?
Several things reduce the gain: the cost of improvements, selling costs (broker, notary) and capital losses carried forward. In some cases, a cottage can also be designated as your principal residence for certain years.
