There are Federal and Provincial income taxes payable on income earned in Canada. Both are calculated and paid together in one tax return. Taxes are payable on any income earned in Canada. If the home owner was part of the Resort’s rental pool and earned income from this arrangement, this income would have to be reported and taxes paid on the return.

The rate of tax is based on the residency of the home owner and if there is a tax treaty with that country. Any Canadian taxes paid may help reduce the taxes due in the owner’s country of residence should a tax treaty exist with that country.