How to calculate capital gains To calculate a capital gain, follow these simple steps: Determine the purchase price: This is the amount you paid to acquire the investment. For instance, if you bought ...

When you sell an investment that isn’t tax-sheltered for a profit, you must report a capital gain on your tax return. But there are a few options to reduce the tax owed, which we will look at below.

You can deduct the $500,000 in renovation costs to the capital gains so that you’re only paying tax on $400,000. This scenario only applies if you’ve tracked those renovation expenses properly.

Your ex-husband may be able to defer the income inclusion of the capital gain on an investment condo he moves into by filing a subsection 45 (3) election within 90 days of Canada Revenue Agency ...

On paper, that’s a $10,000 capital gain. But then the tax bill comes due: $2,666 at the top combined capital gains rate of 53.31 per cent, and with the current inclusion rate of 50 per cent.

The capital gains tax is levied on any profits you make from selling an investment. This applies to most money that you make through buying and selling assets such as stocks, bonds and even real ...