CRA Audits of Rental Income: What Triggers Them, and How to Stay Audit-Ready
Real estate is the CRA's single biggest audit focus, and rental returns get looked at more than most. The good news: rental audits are predictable. They start from a short list of red flags — under-reported income, repeated losses, outsized repairs, mis-split mortgage interest, and over-claimed personal use — and almost always begin with a letter, not a knock at the door. This guide explains what actually triggers a review or audit, what survives one, and what to do if a CRA letter lands. General information, not tax advice.
