- Joined
- Jan 23, 2007
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Hello fellow Canadians!
I'm trying to figure out reporting domain revenue for income tax purposes in Canada.
I understand that advice here doesn't replace a lawyer or an accountant, but since domaining isn't clear to those outside of our group I thought I'd ask here first.
This would be added to my personal tax as I haven't set up a separate business yet.
So I have two scenarios I'm dealing with this year:
1) A straight up sale (e.g. Bought for $100, sold for $500 = $400 in profit.)
I figure this is reported as a capital gain.
2) A domain lease to own (e.g. Bought for $100, sold for $200 with $50/yr = -$50)
I figured this is a capital loss of $50.
Therefore a total capital gain of this year of $400 - $50 = $350
I'm also confused what I would do for next year if I reported it like this?
Am I able to carry over my $50 loss over from this year to next year (and have a net gain of $0) for 2016.
Does this make sense or am I missing something?
Thanks everyone!
I'm trying to figure out reporting domain revenue for income tax purposes in Canada.
I understand that advice here doesn't replace a lawyer or an accountant, but since domaining isn't clear to those outside of our group I thought I'd ask here first.
This would be added to my personal tax as I haven't set up a separate business yet.
So I have two scenarios I'm dealing with this year:
1) A straight up sale (e.g. Bought for $100, sold for $500 = $400 in profit.)
I figure this is reported as a capital gain.
2) A domain lease to own (e.g. Bought for $100, sold for $200 with $50/yr = -$50)
I figured this is a capital loss of $50.
Therefore a total capital gain of this year of $400 - $50 = $350
I'm also confused what I would do for next year if I reported it like this?
Am I able to carry over my $50 loss over from this year to next year (and have a net gain of $0) for 2016.
Does this make sense or am I missing something?
Thanks everyone!