Dec 06, 2014 12:23 AM

I have never heard of such a thing...What is a PERSONal Corporation Admiral Scott? :/

Today the Tax Fairness for Realtors Act, 2014 was introduced in the Ontario Legislature by Prince Edward-Hastings MPP Todd Smith. If passed, the Act would allow real estate salespeople to form personal corporations. Currently, the Real Estate and Business Brokers Act, 2002 (REBBA), prevents real estate salespeople from operating their business through a personal real estate corporation (PREC).

The ability to incorporate would allow a REALTOR”, depending on their level of business income, to save money on their income tax by taking advantage of the lower corporate tax rate. In short, PRECs will help REALTORS’ do better business.

This legislation is an important step in aligning the rights of real estate salespeople with other regulated professions in the province. Many other regulated professions in Ontario, including chartered accountants, lawyers, health professionals, social workers, mortgage brokers, insurance agents, architects and engineers, can all form personal corporations. It’s time REALTORS’ were treated the same.

We want the government to allow personal real estate corporations in the upcoming 2014 Ontario Budget. The budget will be introduced in a few weeks so we need your help now. Please tell the Minister of Finance that it's time Ontario treats real estate professionals fairly by allowing them to form personal real estate corporations.