If you hold your property in a corporation for flipping it:
Your property is an inventory item and its cost basis keeps on increasing with all renovations and expenses you make on it.
The income you generate from slipping properties in a corporation is an “active business income”
You cannot depreciate your property since its not a depreciable property
The same criteria are applied to determine if the profits are business income or capital gains as mentioned above.
If you earn rents from these properties, passive income rules are also applicable to rental income.