Should I form a Personal Real Estate Corporation (“PREC”)?
Thanks to our big advocacy win earlier this year, that’s a question many OREA Members are considering right now.
While many Members are interested in forming a PREC, some of you may be feeling overwhelmed by the process. OREA is here to help!
We have put together a package of resources that can help you decide if forming a PREC is right for your business and how to take the first steps towards incorporating.
For an overview of how PRECs work, we encourage you to take a look at our Guide to Personal Real Estate Corporations for Ontario REALTORS®, which describes the basics of incorporating, including outlining the advantages and potential challenges associated with incorporation.
OREA has consulted with legal and tax experts to put together a series of Frequently Asked Questions which addresses the most common issues surrounding PREC formation in Ontario, like:
- Income splitting
- Holding corporations; and,
- How to manage pending transactions.
We have also shared a video-recording of a webinar that featured an in-depth briefing for Members on the new PREC regulation, and included insights from OREA’s team of legal and tax experts who helped answer questions from our Members.
All of these resources and more can be found on OREA’s PREC Website.
Achieving personal real estate corporations was a huge win for OREA and our Members. OREA would like to thank you for contributing to all the campaigns that have made the introduction of this regulation a reality for REALTORS®.
If you have any other questions, please do not hesitate to reach out to a member of our OREA team at GovernmentRelations@orea.com.
Vice President, Public Affairs & Communications