# Tax implication of selling a rental property that was my home earlier



## pault800 (Mar 29, 2013)

I bought my first home in 2005 for 250K and put it up for rent in 2008 as I moved to another home. In 2008 the City assessment of my home was around 440K. In 2012, I sold this rental property (home) for 450K. Do I owe tax on 200K captial gain (450K-250K) ? Any help for this newbie would be much appreciated..


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## FrugalTrader (Oct 13, 2008)

Hi Paul, my understanding is that you adjust the cost of the property based on the value of when you moved. So in your case, since the value was $440k when you moved and sold for 450k, the capital gain is $10k.


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## My Own Advisor (Sep 24, 2012)

For reading:
http://www.mnp.ca/en/media-centre/b...ur-principal-residence-into-a-rental-property

http://www.taxtips.ca/personaltax/propertyrental/changeinuse.htm


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