Stock Purchase Plan & Taxes - Canada

The taxes for GST/HST are remitted to the tax authorities when earned (purchased) – however, once vested the agent is responsible for the capital gains. Shareworks by Morgan Stanley provides statements that outline the price when sold.

When the shares are initially purchased as part of the Stock Purchase Plan – this is recognized as regular income since the commission was part of the transaction. This is one taxable event that is recognized on the agent’s T4A during the taxable year. Once the shares are released, the agent will not be taxed again until the shares have been sold (second taxable event), however, they will only be taxed on the gain or loss since the purchase.

Related to the SPP bonus matching program, an Agent is taxed once when the shares are vested (if an agent leaves Real prior to the vesting – these shares will be canceled). The agent will be taxed once more on the gain or loss if sold from the difference in the market value at the time of the release.

Want to learn more about Real's Stock Purchase Plan? Go to, How does equity (stock) work at Real?