I'm curious to hear from other rental property owners out there how they've structured their rental holdings for tax purposes.
Right now, I'm holding my rental property (a single dwelling) in my name, with rental income being submitted and taxed at my nominal tax rate. Given I'm in the highest tax bracket already, I'm taxed fairly high on the income the property generates. Curious how others have dealt with this issue.
My account suggested transferring the property to my wife (at real market value), which unfortunately would trigger a land transfer fee (~$7,500) and legal fees (which are not deductible until time of sale). The benefit of this being that the property would be taxed at a lower rate (in my wife's bracket).
Wondering how others have structured their tax strategies around rental properties? I saw another thread on incorporating, but I'm not convinced this is the best avenue for a single property.