Man from Tweed, Ont. selling home due to wife's passing set to face higher capital gains tax
Terry Sutherland is trying to sell his home in Tweed, Ont., but he'll likely be hit by the capital gains tax rise.
In the 2024 federal budget, the government detailed that after June 25, the capital gains inclusion rate — the portion of capital gains on which tax is paid — for individuals with more than $250,000 in capital gains in a year will increase from 50 per cent to 66.7 per cent.
"The tax people said it was going to cost me over a hundred thousand next year," explained Sutherland. "Unless we sell before mid-year."
The capital gains tax is meant to tax property owners on the profit they make if they sell their secondary residence, but the reason Sutherland is selling is because his wife passed away roughly two years ago.
Terry and his wife Shirley permanently moved to Ottawa after she was diagnosed with superficial siderosis, an uncommon brain disease.
"To be near good hospitals," Sutherland continued. "To be near our two sons who live near here. Give me some support."
Terry and Shirley Sutherland photographed together on a cruise. (Terry Sutherland/submitted).
After the move, their condo in Ottawa became their primary residence. As Shirley's health declined, they decided to put their home in Tweed on the market.
"It's too big of a property for me now and there's too many memories there. I'm here, I'm 80 years old and I need the better health care. I have two sons close by; this is where I should be."
The home is listed for just under $1.8 million, and Sutherland has been told he could be on the hook for more than $100,000 in capital gains tax under the new parameters, if the home isn't sold before June 25.
Sutherland says he would be able to afford it, but did not foresee this issue when he put the house for sale in 2023.
Correction
This story has been updated to clarify the changes being made to capital gains taxation.
CTVNews.ca Top Stories
Conservatives, NDP should be 'celebrating' EV deals: industry minister
Industry Minister François-Philippe Champagne says federal opposition parties should be 'celebrating' the recently announced electric vehicle deals, despite their criticisms the Liberals refuse to make public the terms and conditions laid out in the contracts.
$500K-worth of elvers seized at Toronto airport
Fishery and border service officers seized more than 100 kilograms of unauthorized elvers at the Toronto Pearson International Airport on Wednesday.
Banking mogul suing government after intelligence leaks leave him shut out of Canadian economy
Chinese Canadian banking mogul Shenglin Xian has launched a $300 million lawsuit against the federal government. It’s a means to find the source of intelligence leaks which Xian says has cost him his livelihood.
His SUV was stolen on Montreal's South Shore. Then he got a $156 parking ticket
A couple is frustrated after their SUV was stolen from Montreal's South Shore in March and they received a parking ticket for the same vehicle last week.
Woman with liver failure rejected for a transplant after medical review highlights alcohol use
For nearly three months, Amanda Huska has been in an Ontario hospital, part of it on life support, because of severe liver failure. Her history of alcohol use is getting in the way of her only potential treatment: a liver transplant.
Box tree moths have infested Ontario and experts say more are coming. Here's what to do to protect your garden
An invasive moth species is on the rise in Canada and, if you've planted a certain shrub, it could stand to ruin your garden.
Evacuation orders lifted in Fort McMurray Saturday as rain dampens wildfire activity
Residents of Fort of McMurray who were displaced over wildfire concerns were told to return home Saturday.
To plant or not to plant? Gardening tips for May long weekend
May long weekend is finally here, and with the extra time off you may be getting the itch to head out to your garden and plant. However, the old debate whether you should plant now, or wait, is still ever-present.
Sean 'Diddy' Combs abuse allegations: A timeline of key events
In the six months since singer Cassie filed a lawsuit against Sean Combs, a wave of similar cases and public allegations against one of the most influential music moguls of the past three decades have occurred.