Gambling duo prove there’s no tax on luck

PAUL WALDIE

Globe and Mail Updatehttp://www.theglobeandmail.com/servlet/story/RTGAM.20061228.wgamble27/BNStory/National/home

The key issue here to consider is that CRA will look at any money making activity and try to define it as a business. That is a very significant issue around part time real estate investors. If they have a BUSINESS SYSTEM that makes money, then they are a business and capital gains and losses do not apply. All the income becomes taxable, and subsequently so do all the losses.