Don't assume that minor tweaks to what you're doing are insignificant. They can have major implications. Changing your mind from personal use/long term rentals/short term rentals can have big implications tax wise or municipal bylaw wise.
I've heard of more people selling their personal use or rental properties in the USA in the last few years. In recent years, I think property managers have to do withholding taxes on the rents. You aren't allowed to self manage. Claiming these foreign tax credits is allowed, but the CRA is inconsistent and a PITA in allowing those deductions. I don't recall what they said specifically, but I think it has to do with tax planning relating to the estate tax rule in the USA if the value of your worldwide estate is over 1 million in net worth.
Rules on properties are evolving rapidly worldwide. Just because you investigate the situation now for owning a US rental property doesn't mean it could suddenly go sideways fast with new rule changes in the coming few years. You have to stay on top of understanding this and you may need to refresh your understanding a few times a year.
|