This is Muhammad Nasrullah,

Chartered Professional Accountant

20 years in public practice

Serving GTA Brampton and Mississauga Area.

Advantages Of Having Professional Real Estate Corporations – 5 Things You Should Know

  1. Director can get T5 (instead of T4) and save taxes
  2. Director can give dividends to family members and reduce taxes

Family members include spouse, children, parents or trust for minor child

Make sure the number of dividends is reasonable according to reasonable circumstances

  1. Director can decide to not to get a T4 at all or a minimum T4 and let the corporation pay for the tax

The real estate corporation can pay the majority amount of tax for you, and you are only subject to a small amount of tax. Your capital can grow in the professional real estate corporation.

  1. The professional real estate corporation can be transferred to your family members and the capital can still grow after the transfer

The transferring price should be the FMV (fair market value)

  1. Director can claim capital gain exemptions of the transfer

Profits are keeping and growing inside the corporation, pay dividends to non-voting shareholders (your family members). After you sale the corporation, you can claim exemptions on capital gains

For more information, please visit our Facebook, LinkedIn and website or contact our office at 416-748-0817

Muhammad Nasrullah,CPA, CGA, LPA
Chartered Professional Accountant
Licensed Public Accountant
206A – 2365 Finch Ave. West North York, ON. M9M 2W8
Tel: (1) 416-748-0817 ext 101 Fax:(1) 416-748-6814 E-mail: