Register a PREC in Ontario

A Personal Real Estate Corporation (PREC) allows a real estate agent to earn their business income through a corporation. It is formed by a single real estate agent and can provide huge tax benefits for agents. To register a PREC in Ontario, simply fill out our user-friendly form, which conveniently takes just 5 to 10 minutes. Following submission, our dedicated registry specialist will thoroughly review the details provided. We'll send your Articles and Certificate of Incorporation to you via email.

What are the advantages of forming a Personal Real Estate Corporation?

• Tax deferral for life and retirement planning purposes.
• Reduction/elimination of Canada Pension Plan (CPP) contributions
• Income splitting with family members under certain circumstances to reduce family tax.
• This format is good for limited liability which means the owners' personal assets are protected from liabilities.

Who can form a PREC?

• Licensed Real estate agents who wish to receive their brokerage remuneration through a corporation can form a PREC.

You can propose a name for your corporation. If the name is available and satisfies the name rules of the province we will proceed to register with that name. A NUANS report is also required for this choice. A NUANS report is an official name search report issued by Industry Canada for your name. If you don't have one we will include it in the order.

You will receive the Certificate and Articles of Incorporation by Email based on the selected Registration Queue.

As the sole shareholder, officer, and director of the PREC, you hold comprehensive control and authority over the corporation. This means you are the only person permitted to make all decisions, exercise signing authority, and possess equity within the corporation.

Note: You can select Two classes of shares if you want to include your spouse or other family members as non-voting shareholders in the corporation.