OT to GroundhogOkay let me try the capital gain/loss another way.
If your a Canadian then you fill out Schedule 3 section 3 Publicly traded shares on your tax return. Below is the column layout
Column(1)
Year of
acquisition
column (2)
Proceeds of disposition
Column(3)
Adjusted cost base
column(4)
Outlays and expenses
(from dispositions)
column (5)
Gain (or loss)
(column 2 minus
columns 3 and 4)
Column 2 - you add up the amount you made on the sale of all your shares. You don't subtract commission from this.. Commission goes in column 4. You add up all the commissions you paid to sell the shares.
Column 3 - ACB you add up the cost of all your shares you purchased but you don't include commission in the value.
Column 4 - you add all the commission you paid to buy and sell the shares and it goes here.
Example1
Jan. 1 you buy 100 shares of BTC . It cost you 15 bucks and commission is 3 bucks.
Feb 10 you sell the 100 shares and your proceeds are 10 bucks plus commission is 3 bucks.
As long as you don't buy back the 100 shares within 30 days. Revenue Canada rule states that you have made a legitimate transaction and it should be claimed for the tax year. I used the word legitimate since I have no idea what other word to use that would indicate that you have to do a claim on the sale.
Column 2 - $10
Column 3 - $15
Column 4 -$3+$3 =$6
Column 5 will be 10-15-6 =(11) and that is a loss.
Example 2
Jan. 1 you buy 100 shares of BTC . It cost you 10 bucks and commission is 3 bucks.
Feb 10 you sell the 100 shares and your proceeds are 12 bucks plus commission is 3 bucks.
Feb 25 you buy 100 shares of BTC. It cost you 7 bucks and commission is 3 bucks. Feb10 to Feb 25 is not 30 days so in Revenue Canada's eyes a legitimate transaction so you don't make a tax return until such time you sell some or all shares and don't buy back within 30 days.
Mar 1 you sell 100 shares and your proceeds are 22 bucks and commission is 3 bucks and you don't buy the 100 shares back you just sold either within 30 days or never buy them back. So now you have to file the 100 shares you sold.
Column 2 - (12+22)/2 =$17
Column 3 - (10+7)/2=$8.50
Column 4 - (3+3+3+3)/2 = $6
column 5 - 17-8.5-6 = $2.5 you have a gain.
MM