This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.
We are US citizens in the process of purchasing a vacation condo in Montreal and were wondering if GST & PST (sales tax) on the condo purchase we deductible on our US Income Tax if we chose the option to deduct state and local sales taxes instead of state and local income taxes.
No. This option applies only to US state and local taxes.
btw, sales taxes related to home purchase are not a deductible expense, either.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
Scot, the GST/PST can however be added to the purchase price of the property in Canada to increase your adjusted cost base (ACB); which will lower any potential capital gains tax on the eventual sale of the property.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best