A non-resident of Canada pays tax on the income they generate in Canada. In a property management business, usually, the property manager deducts this tax amount from the collected monthly rent. This tax is basically an expense item for the owner. In Mi Property Portal, you can follow the steps below to automate the tax collection process:
- Log in to the portal.
- Create a vendor named ‘CRA‘, if it does not already exist.
- Create a new ‘Chart of Accounts‘ in the expense category if it does not already exist. You can name it ‘Non-Residence Tax‘. This will be used to create bills to show as an expense in the ‘Owner Report‘
- From the left navigation, click Accounting > Bill > and click the ‘Create New Bill’ button from the top-right on the page
- Select the right property and fill in all the necessary fields.
- Select ‘Non-Residence Tax‘ as the expense category
- Make sure that the reimbursable slider is set to 100%.