Cottage & Vacation Income Tax
Cottage & Vacation Income Tax
Ted Pollock CPA CA CFP
Ted Pollock CPA CA CFP
Owning a cottage or secondary home can bring years of enjoyment, but it also adds another layer to your financial picture. At our firm, we help property owners who own multiple properties understand how their cottages fit into their overall tax and estate plans, so there are no surprises when it comes time to sell, transfer, or pass them on.
Owning a cottage or secondary home can bring years of enjoyment, but it also adds another layer to your financial picture. At our firm, we help property owners who own multiple properties understand how their cottages fit into their overall tax and estate plans, so there are no surprises when it comes time to sell, transfer, or pass them on.
How We Help Cottage and Vacation Property Owners
How We Help Cottage and Vacation Property Owners
Cottages and second homes come with unique tax considerations, from capital gains to rental income reporting. We provide clear, practical advice to help you make informed decisions and protect the value of your property. We help clients:
Cottages and second homes come with unique tax considerations, from capital gains to rental income reporting. We provide clear, practical advice to help you make informed decisions and protect the value of your property. We help clients:
Plan ahead for capital gains so you know what to expect when selling or transferring your property
Plan ahead for capital gains so you know what to expect when selling or transferring your property
Plan ahead for capital gains so you know what to expect when selling or transferring your property
Understand principal residence exemptions and how they apply if you own multiple homes
Understand principal residence exemptions and how they apply if you own multiple homes
Understand principal residence exemptions and how they apply if you own multiple homes
Coordinate family transfers or inheritances to avoid costly tax implications when passing property to the next generation
Coordinate family transfers or inheritances to avoid costly tax implications when passing property to the next generation
Coordinate family transfers or inheritances to avoid costly tax implications when passing property to the next generation
Report rental income properly if you rent out your cottage part-time or seasonally
Report rental income properly if you rent out your cottage part-time or seasonally
Report rental income properly if you rent out your cottage part-time or seasonally
Integrate your property into your estate plan to ensure a smooth transition and minimize stress for your family
Integrate your property into your estate plan to ensure a smooth transition and minimize stress for your family
Integrate your property into your estate plan to ensure a smooth transition and minimize stress for your family
Consider the use of life insurance, trusts, sale/leasebacks, and reverse mortgages by discussing the pros and cons of each option
Consider the use of life insurance, trusts, sale/leasebacks, and reverse mortgages by discussing the pros and cons of each option
Consider the use of life insurance, trusts, sale/leasebacks, and reverse mortgages by discussing the pros and cons of each option
Why Tax Planning of Cottage and Vacation Homes Matters
Why Tax Planning of Cottage and Vacation Homes Matters
Without proper planning, the sale or transfer of a cottage can trigger significant and unexpected capital gains tax. By reviewing your ownership structure, timing, and family goals, we can identify opportunities to reduce your tax exposure and keep more of your property’s value in your hands.
We also work closely with clients who own short‑term rental platform businesses, ensuring compliance and fairness for everyone involved.
Without proper planning, the sale or transfer of a cottage can trigger significant and unexpected capital gains tax. By reviewing your ownership structure, timing, and family goals, we can identify opportunities to reduce your tax exposure and keep more of your property’s value in your hands.
We also work closely with clients who own short‑term rental platform businesses, ensuring compliance and fairness for everyone involved.
Integrate Your Cottage Into Your Long-Term Plan
Integrate Your Cottage Into Your Long-Term Plan
Your cottage should fit naturally within your financial and estate strategy. Ted works with you to coordinate your property planning with your lawyer and financial advisor, making sure every decision supports your broader goals. That includes:
Your cottage should fit naturally within your financial and estate strategy. Ted works with you to coordinate your property planning with your lawyer and financial advisor, making sure every decision supports your broader goals. That includes:
Timing the sale or transfer of ownership for tax efficiency
Timing the sale or transfer of ownership for tax efficiency
Timing the sale or transfer of ownership for tax efficiency
Aligning property succession with wills and estate documents
Aligning property succession with wills and estate documents
Aligning property succession with wills and estate documents
Reviewing insurance and valuation details to maintain clarity across generations
Reviewing insurance and valuation details to maintain clarity across generations
Reviewing insurance and valuation details to maintain clarity across generations
Discussing the use of trusts, sale, leasebacks, and reverse mortgages
Discussing the use of trusts, sale, leasebacks, and reverse mortgages
Discussing the use of trusts, sale, leasebacks, and reverse mortgages
Related Services
Explore other services that complement your cottage and vacation property tax planning:
Estate Planning
Estate Planning
Coordinate your wills and estate documents for taxes to ensure your property transitions smoothly and tax-efficiently to the next generation
Coordinate your wills and estate documents for taxes to ensure your property transitions smoothly and tax-efficiently to the next generation
Personal Tax
Personal Tax
Align your property income and capital gains reporting with your overall personal tax strategy for full compliance and peace of mind
Align your property income and capital gains reporting with your overall personal tax strategy for full compliance and peace of mind
Let’s Talk
Whether you’re planning to sell, gift, or simply prepare for the future, we’ll help you understand your options and make confident, informed decisions about your cottage or vacation property.
Let’s Talk
Whether you’re planning to sell, gift, or simply prepare for the future, we’ll help you understand your options and make confident, informed decisions about your cottage or vacation property.
Let’s Talk
Whether you’re planning to sell, gift, or simply prepare for the future, we’ll help you understand your options and make confident, informed decisions about your cottage or vacation property.