Airbnb Condo Sale Not Exempt from GST/HST Due to Short-Term Rental Use, Court Rules

• The taxpayer bought a condo in Ottawa and initially leased it long-term until February 2017.
• After February 2017, the condo was rented out as short-term rentals on Airbnb.
• The condo was sold in December 2017 without charging GST/HST, claiming it was a residential complex and exempt.
• The courts ruled the sale was not exempt because the property was used mainly for short-term rentals, making it similar to a hotel or lodging house.
• Therefore, the sale was subject to GST/HST.

Source: mccarthy.ca

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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