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Capital Gain
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Every seller must pay tax on 50%
of the net profit gained from proceeds of sale of their
investment property to the government as the Capital
Gain .
The primary residence is not
subject to the Capital Gain so if you
own a property and you live in it you don't have to be worry about the
Capital Gain but if you have more than one property the government would consider the non residing
property as a rental or investment property so that property might be
subject to the capital gain, once you sold your investment property 50% of the net profit will be added to your income for that
year, for instance if you bought a property for $ 200,000 5 years ago and
now you sell it for $ 300,000 that $ 100,000 profit must be reported as
the capital gain once you file your income tax and half that amount ( $
50,000) is taxable.
If you have any question about the Capital Gain
you should consult your Tax Attorney.
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the followings are the Federal and
Provincial tax rates for the 2010 tax year.
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Tax Rates – 2010
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For the 2010 tax year:
- tax brackets are indexed
- indexing of credits and tax brackets is based on
the Consumer Price Index for British Columbia (BC
CPI) for the 12-month period ended on September 30,
2009
- various non-refundable tax credits are indexed
(see the
2010 Non-Refundable Tax Credit Block)
- the BC CPI used to calculate 2010 amounts was
0.4%
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Personal Income Tax
Brackets and Rates - 2010 Tax Year
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Taxable
Income - 2010 Brackets
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Tax Rate
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$0 to $35,859
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5.06%
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$35,859.01 to $71,719
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7.70%
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$71,719.01 to $82,342
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10.50%
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$82,342.01 to $99,987
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12.29%
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Over $99,987
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14.70%
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Tax rates are applied on a cumulative basis. If your
taxable income is more than $35,859 the first $35,859 of
taxable income is taxed at 5.06%, the next $35,860 of
taxable income is taxed at 7.70%, the next $10,623 is
taxed at 10.5%, the next $17,645 of taxable income is
taxed at 12.29% and any taxable income over $99,987 is
taxed at 14.7%.
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Tax Rates are also available for:
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|
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- 15% on the first $40,970 of taxable
income, +
- 22% on the
next $40,971 of taxable income (on the portion
of taxable income between $40,970 and $81,941),
+
- 26% on the
next $45,080 of taxable income (on the portion
of taxable income between $81,941 and $127,021),
+
- 29% of taxable income
over $127,021.
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Effective January 1, 2010, the B.C.
basic personal amount is increased to $11,000 from $9,373 in 2009
I
New Home Warranty
|
Property Disclosure
| Transaction
Costs |
Fixer upper |
Zero Down
| Pre Approval
| First Time
Home Buyers
 |
