Any benefit for tax reasons?

1 Reply

Hi,

I am wondering if there is any benefit to doing this, for tax implication.

From my soon to be refi, I will have $40,000. Should I transfer this cash into a business bank account? And if so, does this help me for tax reasons? I am on looking to purchase a property with this cash and operate all parts of the property through the business bank account. I am currently personal and looking into sole proprietor, will this benefit me?

Thanks,

Steve

I have no clue because you are in Canada, if you were in the USA it probably wouldn't be worth the cost of a company until the income is a bit larger.  With one financed rental property after depreciation and interest the profit seen by the IRS will probably be low or negative

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