Featherly Services works with realtors and brokers across the Greater Toronto Area and Ontario. We turn lumpy commission income into books you can read, keep your vehicle deductions audit-ready, and help you decide whether a personal real estate corporation makes sense.
Realtors earn irregular commission income, must charge HST once they pass $30,000, and rely on vehicle deductions that CRA scrutinizes. Whether to incorporate through a personal real estate corporation depends on how consistent your net income is.
Your revenue is the gross commission you earned. The brokerage's share is an expense, not a reduction of revenue. Recording only the net deposit understates both sides.
Real estate commissions are taxable. Once your income passes $30,000 you register and charge HST, and a personal real estate corporation needs its own HST account.
Showings and appointments make vehicle costs one of your biggest deductions and one of the most challenged. A log kept at the time of each trip protects it.
Since 2020, Ontario realtors can earn commission through a personal real estate corporation. It can defer tax on income you do not draw, but it only pays off above a consistent income level and comes with ownership rules.
Payments to other agents or non-employee team members generally need a T4A at year end. It is one of the most commonly missed filings.
Commission arrives in bursts. A tax reserve and, where they apply, instalment payments keep tax time from becoming a surprise.
Pricing: bookkeeping from $500 a month, T2 returns from $2,000. Priced by volume and complexity, quoted after a free intro call.
Book a Free Intro CallYes. Real estate commissions are taxable. Once your commission income exceeds $30,000 in a calendar year or over four consecutive quarters, you must register for HST and charge it.
It can be worth a serious look once net commission income is consistently above roughly $80,000 to $100,000 a year. Below that, the added accounting and legal cost often outweighs the tax deferral.
Commonly claimed costs include board and MLS fees, marketing and photography, errors and omissions insurance, a proportion of home office costs, vehicle expenses supported by a mileage log, and continuing education.
Our monthly bookkeeping starts at $500 a month and T2 returns start at $2,000, priced by volume and complexity. Solo agents are quoted after a free intro call.
We serve clients across the Greater Toronto Area, including Toronto, Mississauga, Markham, Vaughan, Brampton, Oakville, Hamilton, Ottawa, Oshawa, and all of Ontario. Book a free 20-minute intro call. No pressure, no sales pitch.
Book a Free Intro Call