Anne Smith acquired her house in 2012 for $150,000 and her cottage in 2016 for $100,000. Due to a rise in real estate prices, she decided to sell both properties and travel around the world for two years. Both properties were sold in October 2021. Anne received proceeds of $375,000 for the house, and $250,000 for the cottage. Calculate the minimum taxable capital gain that Anne will report for her house and her cottage on her 2021 tax return. Show all calculations, identifying the taxable capital gain for each property.
Anne Smith acquired her house in 2012 for $150,000 and her cottage in 2016 for $100,000. Due to a rise in real estate prices, she decided to sell both properties and travel around the world for two years. Both properties were sold in October 2021. Anne received proceeds of $375,000 for the house, and $250,000 for the cottage. Calculate the minimum taxable capital gain that Anne will report for her house and her cottage on her 2021 tax return. Show all calculations, identifying the taxable capital gain for each property.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Anne Smith acquired her house in 2012 for $150,000 and her cottage in 2016 for $100,000. Due to a rise in real estate prices, she decided to sell both properties and travel around the world for two years. Both properties were sold in October 2021. Anne received proceeds of $375,000 for the house, and $250,000 for the cottage. Calculate the minimum taxable
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