The Tale of Spouses and the Principal Residence Exemption (PRE) Conundrum
The Scenario John and Jane each purchase a real property in Ontario in 2003, to which they take title in their names alone. John purchases a residential property for $2,000,000 (“John’s Property”) and Jane purchases a cottage property for $1,000,000 (“Jane’s Property”). In 2006, John and Jane become common law