Smith Manoeuvre: Tax-Deductible Mortgage

Wednesday Oct 04th, 2017


The Smith Manoeuvre is essentially just borrowing the available equity from your home with each mortgage payment. This follows all the tax rules.  I should also mention that this isn’t for everyone. Five-Step Process Step 1 You need a re-advanceable mortgage, like a home equity line of credit (HELOC).  They are commonly called STEP (Scotiabank), All-in-One (National Bank), or Homeline (RBC). Step 2 Access your home equity and invest in an income-producing asset (e.g.... [read more]

Tax Deductions 101: Rental Properties and Income

Wednesday Sep 27th, 2017


Someone asked me about what tax deductions exist for rental properties.  I knew the basics, but as a property investor myself, it was time to find out just how much can be safely deducted without getting in trouble with the taxman.  I’ve been on that side before with Canada Revenue Agency selecting me for a basic tax audit.  It can be time-consuming, stressful, but in the end, not as bad as it seems.  If there’s one piece of advice that you take away from this... [read more]