Purchases may be structured in several ways. Each method has a different effect on taxation of the purchaser, so accounting advice is helpful in determining which method is best for the purchaser.
Corporate versus personal purchase is usually a tax driven question, so accounting advice is very important. The purchaser must consider the drawbacks to corporate purchase, including the following:
Some of the advantages of purchase through a corporation include:
In order to register a property in the name of a limited liability corporation (LLC) without extra provincial registration of the LLC, the Land Title office will need a copy of the constating documents of the company showing that the LLC is empowered to hold real estate. If the LLC is not empowered to hold real estate it may be possible to change the LLC constating documents to allow it to do so.