The $700K Tax Hit When Leaving Canada

But let's say you had a property rental property in Ontario, near the general Toronto marketplace, give or take, still up pretty high in the real estate values relative to where they were, let's say, about a decade ago, and you've experienced a large rise in equity there. Now you want to leave Canada, and let's just say the property is worth today $1 million, but you paid 250,000 for it, let's call it 300,000. There's a $700,000 gain. And in order to get that clearance certificate, you would have to essentially, even if you weren't selling the property, pay the capital G tax owed at that million dollar valuation today so that you can exit and be kind of wipe your hands of it and say, okay, I've paid the tax now, as though I sold the property while I was still in Canada, even though I still have it now I've left the country.