Real Estate Investors
Bookkeeping and tax support designed for Canadian real estate investors
Owning two rental properties feels manageable. Owning three, four, or more begins to resemble a business. Rental income may be predictable, but the tax implications around structure, depreciation, refinancing, and eventual disposition require ongoing planning.
Teplov CPA provides bookkeeping, tax compliance, and tax planning for real estate investors across Canada, including long-term rental portfolios, short-term rental operators, and mixed-use holdings.
Common Situations We See
Real estate investors typically contact us in one of the following situations:
– You own multiple properties and want property-level financial clarity.
– Capital cost allowance schedules are not being tracked accurately.
– You refinanced and are unsure how interest deductibility applies.
– A property was previously your principal residence.
– You operate one or more short-term rentals.
– You are unsure whether personal or corporate ownership remains appropriate.
– Tax season feels reactive rather than strategic.
Our role is to provide structured reporting, accurate compliance, and long-term planning aligned with your portfolio and growth objectives.
Our Services for Real Estate Investors
Property-Level Bookkeeping
Clear reporting at the property level improves decision-making and reduces compliance risk.
We provide:
– Separate income and expense tracking for each property
– Mortgage interest, property tax, insurance, and repair categorization
– Property management and platform fee tracking
– Monthly reconciliations
– Financial statements by property and portfolio
– Year-end file preparation to support tax filing
Bookkeeping is delivered using Xero or QuickBooks Online, configured specifically for rental portfolio tracking.
Tax Compliance
We prepare and file returns accurately and on time, with a CPA who understands rental and short-term accommodation rules.
Services include:
– T1 personal income tax returns
– T776 rental income reporting
– T2125 reporting where short-term rental activity qualifies as business income
– T2 corporate tax returns where applicable
– GST/HST registration and periodic filings where required
– Quarterly installment calculations
– CRA correspondence support related to prepared filings
Long-term residential rentals are generally exempt from GST/HST. Short-term rentals are typically taxable supplies once revenue exceeds $30,000 in a rolling 12-month period. Proper classification and registration are essential.
Tax Planning for Rental Portfolios
Tax planning for investors focuses on depreciation strategy, ownership structure, and future disposition planning.
Capital Cost Allowance
CCA reduces taxable rental income but lowers the adjusted cost base and may create recapture on sale. We maintain accurate depreciation schedules and review whether claiming CCA aligns with your current income and long-term plans.
Principal Residence Planning
If a property was previously your principal residence, elections may be required to preserve the principal residence exemption. Change-in-use rules and deemed disposition rules must be reviewed early, not at the time of sale.
Refinancing and Interest Deductibility
Interest deductibility depends on how borrowed funds are used. If refinance proceeds are used for personal purposes, that portion of interest is not deductible. We track the use of borrowed funds to ensure accurate reporting.
Ownership Structure Review
Holding property personally versus through a corporation has long-term tax and financing implications. We evaluate your current portfolio, income level, and growth plans to determine whether your structure remains appropriate.
Short-Term Rental Operators
Short-term rental properties require additional bookkeeping and compliance attention.
Platform Income Reconciliation
Platforms such as Airbnb and VRBO report gross booking income while remitting net payouts after fees. Proper reconciliation ensures accurate reporting of revenue and expenses.
Mixed Personal and Rental Use
If the property is used personally during part of the year, expenses must be allocated between personal and rental use. Allocation methodology must be documented and applied consistently.
GST/HST on Short-Term Accommodation
Short-term rentals are generally taxable supplies. Once revenue exceeds $30,000 in a rolling 12-month period, registration and remittance are required. Input tax credits may be claimed on eligible expenses once registered.
Municipal Licensing Costs
Municipal licensing and compliance costs related to short-term rental activity are deductible when properly documented.
Frequently Asked Questions
CCA reduces taxable income in the current year but may increase taxable income through recapture when the property is sold. Whether to claim CCA depends on your income level and long-term plans.
A change in use may trigger a deemed disposition at fair market value. Elections may be available to defer the consequences, but they must be filed correctly and on time.
Long-term rental income is reported on form T776. Short-term rental activity that includes significant services may be reported as business income on T2125. The classification affects CPP obligations and must be reviewed based on the nature of the activity.
2025 Tax Return
The filing deadline for self-employed Canadians is June 15, 2026. Any balance owing is still due April 30, 2026.
We are currently accepting new real estate investor clients for the 2025 tax year.
Get startd
Email contact@teplov.ca or use the contact form with a brief description of your situation, including:
– Approximate annual income
– Whether you are incorporated
– Whether you have US clients
– What you are trying to resolve
We typically respond within one business day.