Whether you let out a part of your home or use it to operate your business, there could be significant tax implications in the future.
If you do so, you may lose full or partial main residence capital gains exemption and end up paying capital gains tax when you sell your home in the future.
So, it’s very important to consider the tax implications before you start using your home for income-producing activities.
Get in touch with Bibek Nepal, CPA to discuss your situation and how we can help you to plan and minimize your tax.
Disclaimer: This article is provided as general information only and does not consider your specific situation, objectives, or needs. It does not represent accounting or tax advice upon which any person may act. Implementation and suitability require a detailed analysis of your specific circumstances. Before taking any action, consider your own circumstances and seek professional advice.