# 45(2) election
**URL:** https://www.protaxcommunity.com/t/45-2-election/8125
**Category:** Tax Topics
**Created:** [March 22, 2024, 10:19pm UTC](https://www.protaxcommunity.com/t/45-2-election/8125 "2024-03-22T22:19:26Z")
**Posts on this page:** 2
**Page:** 1
### Author:  [@helga\_spence](https://www.protaxcommunity.com/u/helga_spence)
#### Post date: [March 22, 2024, 10:19pm UTC](https://www.protaxcommunity.com/t/45-2-election/8125/1 "2024-03-22T22:19:26Z")
I have a missionary clients who purchased a home in Europe where they serve. They are on a home assignment for a couple of years, and started renting out the property in 2023.
I reread the applicable section and found no direct statement the principal residence has to be in Canada. Yet I suspect it is only available for Canadian properties.
Am I mistaken, or can they make the election?
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### Author:  [@GuyWhoPlaysGolf](https://www.protaxcommunity.com/u/GuyWhoPlaysGolf)
#### Post date: [March 23, 2024, 1:25am UTC](https://www.protaxcommunity.com/t/45-2-election/8125/2 "2024-03-23T01:25:07Z")
As far as I know, there is no mentioning on whether or not a foreign property can use 45(2) election. The taxpayer must still be a resident or deemed resident of Canada during those years in order to designate the property as the principal residence.
This year, I’ve dealt with an audit review on a late 45(2) election. From the conversation with the auditor, the CRA are able to find the exact date of acquisition that a taxpayer had bought a property and for how much….I’m assuming but looking on MLS listings. However they don’t have that much information on properties that are held outside of Canada.