Real estate capital gains on mobile homes
Posted date : May 10, 2023.
We own a mobile home in Florida, but do not own the land (rented). Selling a mobile home is similar to selling a vehicle where we sign over title. Annually, we pay for a mobile home trailer licence just like a car. The mobile home has increased in value and we are wondering whether we are subject to capital gains on a mobile home that is treated like a vehicle?
William Gordon
Ontario
Ed.: As you do not own the land, your property is not considered “real estate.” However, as you will realize a gain on the sale, you are taxable on the gain by way of a ‘capital gains tax’. There is no requirement for withholding, as there would be if it were “real estate.” A tax return is required to be filed in the year following the year of the sale.
