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PAGE 10 TERRACE BAY NEWS SEPTEMBER 15, 1976 INFORMATION ONTARIO PART I Are you thinking of selling some real est~ ate and are wondering about Capital Gains or Land Speculation Tax. Recently our office has received inquiries congerhing selling of land to Americans or giving land to relatives, and the effects of such action as far as Land Speculation Tax, Gift Tax, etc. THis series of Information Ontario releases will concern general answers to some of the questions that are posed. If you wish an ans- wer to a specific problem that you are en- - countering, you.should then contact your sol- icitor or the Ministry of Revenue, whose ad- dress you may obtain. through the Northern Af- fairs Office. "1. What restrictions has the Provincial Govern -ment placed upon Americans purchasing Canad- ian real estate? . ANSWER: The restrictions set out in the legis- lation are not primarily directed to Americans as such, but are applicable to all non-resid- ents of Canada purchasing Ontario real estate. and consists of a land transfer tax rate of 20 per cent of the value of consideration. Under the Land Speculation Tax Act, a resident is not allowed the exemption provided under section 4(f) for the sale of his principal recreational property if the sale is to a non- resident. Further, the sale of shares of a corporation more than 50 per cent of whose as- sets consist of land will be taxed at the 20 per cent rate under section 2(2) of The Land Speculation Tax Act if the shares are sold to a non-resident. 2. What problems are involved in transferring title of this real estate A) To American citi- zens B) To Canadian citizens. ANSWER: We do not see any difference in the problems that may arise in transferring the title caused by the residence of the purchaser; the title requirements are the same, the rate of taxation different. 3. A) If an American property owner sells to another American is there any special transfer tax? If so, how much? B) If he sells to a citizen of Ontario? C) If he sells to 'a Canadian from another province? ) ANSWER: An individual non-resident is defined 'in section 3(1) (g) of the Act - "not ordinar- ily resident in Canada". A) If a non-resident sells to another non-resident the tax rate ap- plies at the rate of 20 per cent as set out in 1. above. B) The sale to a resident would be taxed at the standard rate. C) There is no difference between a resident of Ontario and a resident of any other Canadian province. This is the first of a series of four art- icles. If you require the address or phone number of the Ministry of Revenue, Land Tax ~ Section, please contact your Northern Affairs Officer, Bev Young, Box 280 Peninsula Bldg., Marathon, Ontario. Phone 229-1153. WIPER ARMS THAT FAIL TO KEEP BLADES FIRMLY AGAINET JHE GLASS SHOULP BE REPLACED. WITH ONE HAND, LIFT THE WIFER ARM AS FAR AWAY FROM THE Auto Service Tips WINDSHIELD AS POSSIBLE. xd = USING A SCREWDRIVER St wire i OTHER HAND oy ------ PRY WIPER ARM nti Ge Ip M. CEBRARIO & SONS LID. HARDWARE, PAINTS, BUILDING SUPPLIES, SUNWORTHY PAPERS 312 MANITOBA STREET, SCHREIBER, ONTARIO PHONE 824-2183 R.S. KIRUP & SURVEYORS & oON LTD. ENGINEERS (THUNDER BAY-DRYDEN-RED LAKE-KENORA) 409 GEORGE ST., PHONE 62 THUNDER BAY 3-3461 NOTICE ALL RUSTING CAR OWNERS Join national group taking legal action to recover losses from Ford, G.M.C. Chrysler - Write RUST GROUP Box 164, Station N New Toronto 14, Ont. 'FAMILY RATES Clean Quiet Cody "On Ground Level Only" CABLE & COLOR TV ~ ELECTRIC HEAT YEAR ROUND COMMERCIAL RATES escent 894.2501 ai 824-2800