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Leaving the family cottage to children is not so simple

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Leaving the family cottage to children is not so simple

Great article discussing the tax implications of leaving a cottage property to family members. Capital gains tax creates a huge cost that can sometimes leave parents or the children unable to pay the fee. If you are looking for advice or to sell your cottage property we can help. Please contact David at 1 (877) 992-9927.

Leaving the family cottage to children will cost you – or them - The Globe and Mail

Naming rights about more than handing over a big cheque Jessica Lyle, an estate and trust lawyer at Sealy Cornish Coulthard in Dartmouth, N.S., said many of her older clients are wealthier than their children. “I’ve had clients who bought cottages in now-trendy areas, who got it for $1,500, 40 or 50 years ago, and now the property is worth $800,000 or $1-million. They are talking about an $800,000 capital gain, and suddenly the family has to come up with a few hundred thousands of dollars in cash. For some people, that’s crazy,” Ms. Lyle said. Families need to provide...

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