A taxpayer acquired a condominium unit and one parking space (the “First Parking Space”) in 2017 for personal use, then acquired a second parking space (the “Second Parking Space”) on separate title in 2020 in the same building complex for personal use. The First Parking Space was sold along with the condo and subsequently the Second Parking Space was sold separately. In finding that a portion of, or all of, the gain realized on the disposition of the parking spaces may be exempt pursuant to s. 40(2)(b), CRA stated:
[A] facility, such as a parking space, may be a component of a housing unit provided that facility can reasonably be regarded as contributing to the use and enjoyment of the housing unit as a residence for individuals.
… [I]t is our view that the First Parking Space is a component of the housing unit (i.e., the Condo). In addition, the fact that the Second Parking Space is on separate title and sold to a different purchaser from the Condo would not in and of itself preclude the second parking space from being included as a component of the housing unit. Furthermore, because the Second Parking Space is on separate title from the Condo, it is our view that the Condo and parking spaces must be owned by the same person to be considered as a component of the housing unit.