Question
Jim acquired a house in 2011 for $400,000. In 2013, he acquired a cottage for $150,000.
He lived in the house in the winter and in the cottage in the summer. In 2015, he sold
both properties. He received $500,000 for the house and $250,000 for the cottage.
The sales commission on the transactions were $20,000 and $10,000 respectively.
Required:
Determine the minimum taxable capital gain to be reported by Jim on the sale of the
two properties.
He lived in the house in the winter and in the cottage in the summer. In 2015, he sold
both properties. He received $500,000 for the house and $250,000 for the cottage.
The sales commission on the transactions were $20,000 and $10,000 respectively.
Required:
Determine the minimum taxable capital gain to be reported by Jim on the sale of the
two properties.