Owning real estate in another country brings rental reporting, withholding on the sale, and estate exposure that domestic owners never meet. These guides explain how rental income and gains on foreign property are taxed on each side, and what a non-resident seller must do before the proceeds are released.
Foreign Property — 2 in-depth guides
Do I Have to Pay Tax on Overseas Property Sale
A practitioner's guide to do I have to pay tax on overseas property sale: the rule that decides it, the claims that make it real, and the quick answers to every version of the question.
Do Canadians Pay Capital Gains on US Property
Do canadians pay capital gains on us property — the mechanism, the paperwork sequence, and the errors we correct most often, with every variant of the question answered in one guide.
Other topics NRI & India, Departure & Exit Tax, US Expat Taxes, Working Across Borders, Retirement & Pensions.
Cross-border tax case studies
Kept-available home's residence position settled before rental reporting began
A Canadian resident who kept a home available after moving abroad needed their residence position settled before the home's eventual rental income was reported on either country's return. We reviewed the client's ties and settled the residence question first, then built the rental reporting on that settled position.
Non-resident-seller purchase reviewed for the correct withholding before closing
A buyer purchasing property from a non-resident seller needed the correct withholding applied to the purchase price rather than assuming no deduction was required for the transaction. We confirmed the seller's non-resident status and applied the correct withholding before the transaction closed.
Foreign rental property's income and disclosure return prepared together
A Canadian resident holding a rental property in another country needed the property's foreign income and the resulting Canadian disclosure return prepared together from the same underlying figures. We prepared both filings together so the rental income and the disclosure return agreed with each other.
A Home Kept in Canada After the Move Abroad
A dwelling left available is the tie the CRA weighs most heavily, and its treatment differs depending on whether it is rented at arm's length. The file settles the residence position first and the rental reporting second.
Read how this one runsTax Deducted When Buying From an NRI
Withholding on a sale by a non-resident is applied to the sale value rather than to the gain, so it routinely exceeds the tax due. A lower-deduction certificate obtained before completion avoids locking the difference up.
Read how this one runsAn NRI Selling Indian Property With Tax Withheld on the Price
Withholding on a sale by a non-resident is applied to the sale value rather than to the gain, so it routinely exceeds the tax due. A lower-deduction certificate obtained before completion avoids locking the difference up until a return is assessed.
Read how this one runsA Canadian Landlord With Property in the United States
Gross withholding on US rents takes no account of mortgage interest, tax or repairs, so a leveraged property can face tax on turnover. An election onto net basis fixes that, and it has its own timing and its own filing.
Read how this one runsThe Two-Year Window After Returning to India
Returning residents pass through a transitional status in which foreign income is largely outside the Indian net. The engagement establishes when the window opens and closes, and puts the transactions that benefit inside it.
Read how this one runsAll case studies — every published engagement in one place.
Core International & Cross-Border Tax Services
Strategy and compliance for income, assets and families spread across borders.
Industries & Client Types We Serve Worldwide
- Foreign VAT / GST / sales tax registrations
- Marketplace withholding reviews
- Inventory nexus & PE analysis
- Multi-currency books reconciled
- Cross-border revenue sourcing & withholding
- IP structuring with real substance
- Equity for cross-border teams
- U.S. expansion: entity & PE setup
- Reg 105 / 102 waivers
- Permanent establishment risk
- Partner mobility planning
- Cross-border withholding recovery
Foreign property income and sales are taxed in both countries by default; Section 216, FIRPTA and treaty credits are the standing toolkit.
Property is taxed where it sits, which is the one rule no treaty overrides. What the treaty does decide is the credit, the rate on the rent and what happens on the sale — and the clearance certificate on a disposition is applied for before closing, not after the buyer has already held the money back.
- Section 216 rental returns
- FIRPTA withholding recovery
- Section 116 clearance
- Treaty credit optimization
- Transfer pricing documentation (s.247)
- Customs value vs transfer price
- Foreign affiliate reporting (T1134)
- Country-by-country reporting
- Reg 105 & U.S. CWA agreements
- Multi-state & country calendars
- Touring income allocation
- Royalty & image-rights withholding
- Residency analysis before moving
- Employer payroll exposure
- Totalization & social security
- Foreign tax credits
- Treaty access & PPT reviews
- FAPI & surplus computations
- Withholding-efficient routing
- Governance & substance
