,canada ,cu/oms                       #a
& ,rev5ue ,ag5cy

          ,9t]pret,n ,bullet9
    
,subject3 ,9come ,tax ,act
  ,r5tal ,prop]ties--,capital ,co/ (
  4#ej1jjj or ,m
,numb]3 ,,it-#bgd;,r
,date3 ,april #i1 #aiij
,ref];e3 ,subsec;n #aaja7#a;ac7 (!
  ,regul,ns 7al subsec;ns #aajj7#aa7 &
  7#ad71 #aaja7#a;ad7 & 7#e;b7 &
  #aajc7#a7 (! ,regul,ns7

               ,applic,n
    
  ,? bullet9 replaces & c.els ,9t]pret,n
,bullet9 ,,it-#bgd dat$ ,decemb] #bb1
#aige4 ,curr5t revi.ns >e designat$
0v]tical l9es4



                                      #a
                ,summ>y              a#a
    
  ,? bullet9 d1ls )! require;t 69clude 9
a sep>ate capital co/ all[.e class ea*
r5tal prop]ty acquir$ at a capital co/ (
4#ej1jjj or m4

          ,4cus.n & ,9t]pret,n
    
#a4 ,subsec;n #aaja7#a;ac7 (! ,regul,ns
  prescribes a sep>ate class = ea* r5tal
  prop]ty 7z def9$ 0subsec;n #aajj7#ad7
  (! ,regul,ns7 t a taxpay] has acquir$
  af #aiga at a capital co/ ( 4#ej1jjj
  or m1 o!r ?an a build+ ! erec;n ( :
  -m;ed or 0 agre$ 6in writ+ 2f #aigb4
  ,^! provi.ns al apply 6all deem$
  acquisi;ns ( r5tal prop]ty "u ! ,act b
  d n apply 6acquisi;ns 9 ! specific
  circum/.es \tl9$ 9 subsec;n
  #aaja7#a;ad7 (! ,regul,ns4 ,al except$
  >e prop]ties t >e l1sehold 9t]e/s 9
  r1l prop]ty describ$ 9 subsec;n
  #aajj7#ac7 (! ,regul,ns : >e requir$
  6be 9clud$ 9 a sep>ate class =      #b
              ,,it-#bgd;,r           b#a
  all s* l1sehold 9t]e/s 0virtue (
  subsec;n #aaja7#e;h7 (! ,regul,ns4
#b4 ,9 det]m9+ ! capital co/ (a r5tal
  prop]ty only ! por;n (! total pur*ase
  price t wd 2 alloca# 6,class #a1 #c1
  #f or #ac is 3sid]$ 9 decid+ :e!r !
  r5tal prop]ty %d 2 9 a sep>ate class4
  ,= example1 ! prop] por;n (! total
  pur*ase price (a furni%$ a"p;t build+
  is allocat$ 6l&1 furniture & build+ 7!
  r5tal prop]ty74
#c4 ,9 ! case (a 3dom9ium build+ or r[-
  h\s+ /ructure ": a taxpay] has acquir$
  "o or m units1 ! co/ (! unit or !
  a7regate co/ ( all ! units )9 ! same
  build+ or /ructure w 3/itute "o
  sep>ate class if ? co/ or a7regate co/
  is 4#ej1jjj or m4 ,if a taxpay] [ns
  units 9 di6]5t build+s or /ructures1 !
  sep>ate class provi.ns ( subsec;n
  #aaja7#a;ac7 (! ,regul,ns apply 6any
  9dividual build+ or /ructure t has an
  a7regate co/ 6! taxpay] (
                                      #c
              ,,it-#bgd;,r            #b
  4#ej1jjj or m4 ,": ! co/ (! unit
  9cludes a %>e 9 ! -mon prop]ty1 !
  prop] por;n %d 2 allocat$ 6l& & o!r
  classes ( prop]ty held 9 -mon 6det]m9e
  ! co/ (! r5tal prop]ty xf4
#d4 ,ord9>ily a4i;ns made af #aiga 6a
  r5tal prop]ty acquir$ 2f #aigb d n put
  x 9 a sep>ate class "u subsec;n
  #aaja7#a;ac7 (! ,regul,ns ev5 ?\< !
  capital co/ (! a4i;ns may 2 4#ej1jjj
  or m4 ,ea* r5tal prop]ty acquir$ af
  #aiga = less ?an 4#ej1jjj m/ 2 put 9 a
  sep>ate class if subsequ5t a4i;ns
  9cr1se xs capital co/ 6at l1/
  4#ej1jjj4 ,subsec;n #ac7#e7 (! ,act
  \tl9es ! proc$ure = transf]r+ !
  prop]ty 96! sep>ate class 7see !
  curr5t v].n ( ,,it-#aij74
#e4 ,a sep>ate class is n prescrib$ =a
  %>e 9 a r5tal prop]ty acquir$ 0a
  taxpay] = less ?an 4#ej1jjj "u a
  t5ancy 9 -mon or jo9t t5ancy ev5 ?\< !
  total capital co/ (! prop]ty is
  4#ej1jjj or m4 ,h["e1 a sep>ate     #d
              ,,it-#bgd;,r           a#b
  class is prescrib$ = ea* r5tal
  prop]ty1 hav+ a total capital co/ (
  4#ej1jjj or m1 t is "pn]%ip prop]ty
  ev5 if "o or m "pn]s' 9t]e/ 9 !
  "pn]%ip is less ?an 4#ej1jjj4
#f4 ,= tax,n ye>s prior 6#aiid1
  multiple-unit resid5tial build+s
  7,,murbs7 "u ,classes #ca & #cb (
  ,s*$ule ,,ii >e exclud$ f ! def9i;n (
  r5tal prop]ty pursuant 6p>agraph
  #aajj7#ad77a7 (! ,regul,ns4 ,?us
  ,,murbs >e n subject 6! r5tal loss
  re/ric;ns on capital co/ all[.es 9
  subsec;n #aajj7#aa7 (! ,regul,ns until
  tax,n ye>s af #aiic4 ,h["e1 0virtue (
  subsec;n #aaja7#e;b7 (! ,regul,ns1 ":
  a prop]ty ( ,class #ca or #cb (
  ,s*$ule ,,ii has a capital co/ 6!
  taxpay] ( 4#ej1jjj or m1 a sep>ate
  class = x is prescrib$2 "!=e1 !
  pr9ciples reg>d+ sep>ate classes =
  r5tal prop]ties ) capital co/s (
  4#ej1jjj or m : >e 4cuss$ 9 ? bullet9
  w apply 9 ! case ( ,class #ca or    #e
              ,,it-#bgd;,r           b#b
  #cb build+s4 ,= fur!r 9=m,n on
  ,,murbs1 ref] 6! curr5t v].n (
  ,,it-#cfg4
#g4 ,subsec;n #aaja7#a;ac7 (! ,regul,n
  applies :e!r ! r5tal 9come f ! r5tal
  prop]ty is 9come f a busi;s or
  prop]ty4 ,": ! 9come is f a busi;s1 a
  taxpay] may elect "u subsec;n
  #aajc7#a7 (! ,regul,ns 7see ! curr5t
  v].n ( ,,it-#cbg7 6transf] 6,class #a
  all prop]ties 79clud+ r5tal prop]ties7
  o!rwise 9clud$ 9 ,classes #b 6#ab
  9clusive & acquir$ =! purpose ( ga9+
  or produc+ 9come f ! same busi;s4 ,:5
  ! elec;n is made1 ea* r5tal prop]ty
  acquir$ af #aiga )a capital co/ (
  4#ej1jjj or m transf]r$ 6,class #a m/
  2 put 9 a sep>ate ,class #a4





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