tourism
+2,8 %
CAD 140.5bn of direct visitor spending in 2025
+2.8% versus 2024.
Period: 2025
GATAVIA GLOBAL · Gatavia Canada
Short-term rentals in Canada
This section explains how short-term rental operates in Canada and how to correctly separate the various legal, fiscal, and operational layers. The specific answer depends on the type of property, the method of exploitation, and the applicable rules in each case.
✓ Information reviewed: 08/26/2026
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GATAVIA
This section explains how to analyze market, profitability, and investment in Canada without confusing the different legal, tax, and operational layers. The specific answer depends on the type of property, the mode of operation, and the rules that apply to the case. The specific and verified data are presented below in the Gatavia information block.
Investment analysis must separate general tourism data from the actual metrics of a specific property. National or regional overnight stays help understand demand, but do not equate to occupancy, average price, or profitability of a property.
Tourism market in Canada
Data, context and key indicators for the tourism market.
tourism
+2,8 %
CAD 105.6bn of domestic spending in 2025
+2,8%.
Period: 2025
tourism
+2,8 %
CAD 34.9bn of international spending in 2025
+2,8%.
Period: 2025
tourism
+1,6 %
107.3 million domestic overnight trips
+1,6%.
Period: 2025
tourism
-0,6 %
International overnight trips
International overnight trips Value: 19.8 million Reference year: 2025 Scope: Canada Interpretation: -0.6% year-on-year.
Period: 2025
Regulatory alerts
Public information is not yet available for this section.
Regulatory framework
national
There is no national short-term rental license
Correct.
There is no national short-term rental license Application: Short-term rentals in Canada Verified rule: Correct. Exceptions: None as a national shortcut. Timing: Before purchasing/listing. Legal reference: Federal/provincial/municipal STR frameworks
regional
British Columbia: annual provincial registration and changes 2026
Each unit must register and renew annually.
British Columbia: annual provincial registration and changes 2026 Application: Short-term rental units in BC Verified rule: Each unit must register and renew annually. Timing: The renewal window opens 40 days before expiration. Legal reference: Short-Term Rental Accommodation Act/Regulation; BC Host Registry 2026
regional
Québec: two proofs of residence and recurring consents starting September 1, 2026
The primary residence proof is strengthened in September 2026.
Québec: two proofs of residence and recurring consents starting September 1, 2026 Application: Tourist accommodation of primary residence Verified rule: The primary residence proof is strengthened in September 2026. Timing: From September 1, 2026. Legal reference: Règlement sur l’hébergement touristique, amendment 2026
mixed
British Columbia: annual provincial registration and changes 2026
Each unit must register and renew annually.
British Columbia: annual provincial registration and changes 2026 Application: Short-term rental units in BC Verified rule: Each unit must register and renew annually. Timing: The renewal window opens 40 days before expiration. Legal reference: Short-Term Rental Accommodation Act/Regulation; BC Host Registry 2026
Short-term rental taxation
Taxation
All accommodation-sharing income is taxable
Short-term accommodation is generally taxable for GST/HST
Short-term accommodation is generally taxable for GST/HST
Taxation
Federal individual first bracket: 14% in 2026.
14
Taxation
Federal individual top marginal rate: 33% above CAD258,482
33
Taxation
GST/HST small-supplier threshold generally CAD30,000
30000
Taxation
GST/HST rate varies from 5% to 15% by province
Taxation
Non-compliant STR expenses are denied proportionately
Regulatory and market evolution
06/01/2026
Kelowna: outside the provincial primary residence requirement from June 1, 2026
Kelowna is no longer subject to the provincial primary residence requirement, but it is not deregulated.
PROFESSIONAL CONTENT
Gatavia Professionelles Dossier · Canada
Advanced analysis for owners, managers and investors who need to go beyond public information.
01
Due diligence
Professional checks before purchasing, operating or converting short-term accommodation.
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02
Advanced regulation
In-depth analysis of requirements, restrictions, risks and regulatory scenarios.
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03
Professional taxation
Advanced tax treatment, scenarios and issues requiring special attention.
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04
Professional operations
Processes, recurring obligations and documentary control.
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05
Territorial radar
Assessment of territories, cities and areas with different market or regulatory conditions.
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06
Investors
Risks, costs, profitability, scenarios and criteria before making an investment decision.
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07
Managers
Compliance, representation, reporting and professional management for third parties.
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08
Metrics and alerts
Professional indicators covering market, demand, risk and regulatory evolution.
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This dossier is included with Gatavia Country and Gatavia Global.
Sources and reference authorities
Canada Revenue Agency
Canada Revenue AgencyCanada Revenue Agency
Canada Revenue AgencyCanada Revenue Agency
Canada Revenue AgencyCanada Revenue Agency
Canada Revenue AgencyCanada Revenue Agency
Completing Form T776 — short-term rental compliance linesCanada Revenue Agency
Changes to eligible deductions from short-term rental incomeCanada Revenue Agency
Current year tax rates and income brackets 2026City of Calgary
Short-term rental business licence changesCity of Toronto
City of TorontoCity of Vancouver
Short-term rental business licenceDestination Canada
Destination CanadaGouvernement du Québec
Gouvernement du QuébecGouvernement du Québec
Gouvernement du QuébecGouvernement du Québec
Gouvernement du QuébecGovernment of British Columbia
Government of British ColumbiaGovernment of Canada
Government of CanadaGovernment of Nova Scotia
Government of Nova ScotiaGovernment of Nova Scotia
Government of Nova ScotiaJustice Laws Website
Prohibition on the Purchase of Residential Property by Non-Canadians ActProvince of British Columbia
Short-Term Rental Accommodations RegulationProvince of British Columbia
Province of British ColumbiaProvince of British Columbia
Province of British ColumbiaProvince of British Columbia
Short-Term Rental Accommodations ActRevenu Québec
Tax on LodgingStatistics Canada
International arrivals to Canada, July 2026Statistics Canada
National tourism indicators, first quarter 2026Statistics Canada
Statistics CanadaStatistics Canada
National tourism indicators, Q4 2025Statistics Canada
Tourism in Canada, 2025: A pillar of economic resilienceVille de Montréal
Ville de MontréalPROFESSIONAL PDF GUIDE
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Gatavia organises professional information for information and management purposes. General information does not replace legal, tax or technical advice tailored to a particular case.