RVMP Program
Recreational Vehicle Management Program
Highlights of RVMP
- Four significant rental sources: Local, Corporate, Overseas, and Film Production Companies
- Rental income can offset motor home financing, insurance and license costs
- Free owner use, free storage
- Refund of HST
- Rental income is tax free
- Only 10% down payment
- Professional management company provides you with worry free day to day operations
- Renters are pre-approved by insurance company
- $3,000 security deposit for class C and $4,000 for Class A motor homes insures care of motor home
Rental Revenue Sources
Local and repeat renters are generated by traditional and online advertising. Just Google Motor Home Travel Canada, motor home rentals, Ontario motorhomes, or RV rentals and you are directed to our website motorhometravel.com
Computerized Reservation System provides accurate up to date reports of availability, and vehicle performance.
Overseas Tour Wholesalers and their networks of travel agents publish and promote Motor Home Travel Canada worldwide:
- Online Republic
- Camper Travel
- Worldwide Wheels
- C U Travel
- Travelhome
Corporate: Film Productions
Film productions use motorhomes for their stars, make-up and on-site staff requirements. Corporate rentals have been an ever growing embellishment of the motor home rental business. Current & past productions using our fleet include:
- Murdoch Mysteries
- The Firm Television Productions
- Buy Herself
- The Listener
- Cineflix – Cash & Cari3
- Cottage Country Productions
Government
- The PC Party of Ontario
- The Liberal Party of Ontario
- City of Toronto
TAX
While we do not profess to be tax specialists there are CRA (Canada Revenue Agency) tax provisions and regulations from which our fleet of owners currently enjoys significant benefits.
HST
The HST paid on the purchase of an asset whose purpose is to generate income is refundable to the business as an input tax credit.
The 13% HST paid on the purchase of your motor home can be refunded to you as an ITC (Input Tax Credit).
HST tax received from the rentals of a motor home by operating company is paid to the motor home owner who then remits it to CRA.
Income Tax
Income generated from rental income can be reduced by normal operating expense to establish taxable income. These expenses include interest on financing, insurance, license costs and depreciation.
For example:
| Rental Income 30′ motor home | $11,988 |
| Less: Interest on loan | -5,483 |
| Commercial Insurance | -3,300 |
| License plates | -100 |
| Sub-total | $4,105 |
| Less Depreciation | |
| $80,000 x 30% | |
| (15% in year of acquisition) = $9,600 | |
| Allowable deduction | -4,105 |
| (Deduction may not exceed income) | |
| Taxable Income | 0.00 |
Owner Use
- Owner inspections of their motor home can be conducted at any time during the year at no charge.
- Inspections conducted during the primary rental season will negatively impact rental revenues.
- All owner inspections are arranged through our reservations system by telephone or e-mail requests.
- There is no charges payable to the management company for owner inspections.
Owner Obligations
- Provide insurance as arranged by the manager
- Motor Vehicle Permits
- Non-warranty service
3 BEST WAYS TO OWN A MOTOR HOME
1. GET OTHERS TO PAY FOR IT
2. LET PROFESSIONALS TAKE CARE OF IT
3. …YOU ENJOY IT