Capital gains
Plain definition. In Canadian tax terms, you usually have a capital gain when you sell, or are considered to have sold, a capital property (usually bought for investment purposes or to earn income) for more than its adjusted cost base plus the outlays and expenses to sell it.
Technical definition. The Canada Revenue Agency says you have a capital gain when you sell, or are considered to have sold, a capital property for more than the total of its adjusted cost base and the outlays and expenses incurred to sell it. Capital property is usually bought for investment purposes or to earn income. To find the taxable capital gain, the gain is multiplied by the inclusion rate, which is generally 1/2 for 2025. The taxable capital gain is the portion reported as income on the Income Tax and Benefit Return.
On this site
On this site, Capital gains comes up in Do I pay tax on XRP in Canada or the US?, How do I work out my cost basis and gain on XRP bought at different times and prices?, What records do I need to keep and report for crypto taxes?, How are XRP yield, lending income, AMM fees and airdrops taxed? and Do I have to report XRP held on a foreign platform or in self-custody on foreign-property or foreign-account forms?.
Source
Definitions for capital gains - Canada.ca (canada.ca), read October 1, 2026.
Pages that cover Capital gains
- What records do I need to keep and report for crypto taxes?
- How are XRP yield, lending income, AMM fees and airdrops taxed?
- Do I pay tax on XRP in Canada or the US?
- Do I have to report XRP held on a foreign platform or in self-custody on foreign-property or foreign-account forms?
- How do I work out my cost basis and gain on XRP bought at different times and prices?