T2091 capital gain on rental property


Hey guys,

You own a home use it as your primary residence then later buy a bigger home and leave the old one to be rented out.
Finally you sell the rental home.

Now you must book the CG on T2091 correct?

I have heard an alternate method,

CG = Proceeds - cost(FMV when the change of use occurred) -outlays
(the basis of this is - the rental unit was not a personal use property)


Please don’t ask the same question in two threads. Your question has been answered in the thread whose title ends “- Ontario”