Insights · Analysis in preparation
The Property Flipping Rule: 365 Days, Full Business Income, No PRE
This analysis is being written to the standard the rest of this site holds to — dated, cited to primary sources, and revised when the law or CRA practice changes. It is not yet published.
What this analysis will cover
Since January 1, 2023, a gain on a residential property sold within 365 days of purchase is fully taxable as business income and the principal residence exemption is denied, subject to limited life-event exceptions. This piece explains how CRA applies the rule, and where the disputes now sit: intention, exceptions, and properties held just past the line.
In the meantime
The mandate this analysis supports
The question this piece addresses is already live in practice. The advisory page below sets out how it is handled today; a private consultation is the direct route for a specific matter.
This article reflects tax law and CRA administrative practice as of its publication date. It is general information, not tax, accounting, or legal advice, and reading it does not create a professional-client relationship. Figures, deadlines, and administrative positions change — obtain advice on your own facts before acting.