Stan, Mike Australia has the similar provisions with your primary residence being capital gains exempt so even realized gains are not taxable income in our case. There are some restictions, e.g. if you sell within 12 months or have a pattern of selling and purchasing which indicates conducting a property investment business. Capital gains taxes only apply for realized gains and losses on securities and investments.
I have dealt with that not with a separate set of books but by using separate sub accounts for assets subject to capital gains tax and those that are not with corresponding taxable and non-taxable sections in my income accounts and expense accounts where necessary. I close those to corresponding subaccounts of Equity:retained earnings so that I have the required amounts for doing the appropriate tax calculations available from the balance sheet. You can also customize the balance sheet and other reports, to produce custom reports giving a tax specific version of the reports as required. If the tax status of the property or investment changes e.g. a previous investment property becomes a principal residence and you sell the previous principal residence on retirement, you can just shift it between taxable non-taxable categories at the data of the change. (not shifting the asset account, just the asset value to a new account in the appropriate sub account). We also have a fringe benefits tax payable by the employer on such additional benefits not taxable in the hands of the employee but the employee also has to report such benefits on their tax return. Our tax system is a little simpler as our states ceded the right to collect certain taxes to our federal government in return for imposition of a GST with a tax sharing system with the states so there are no state taxes collectable from employees ( income tax was informally ceded to the federal government at federation in return for specific purpose grant allocations from income tax which are largely population based). Employers however are still subject to some taxes at the state level. David Cousens ----- David Cousens -- Sent from: http://gnucash.1415818.n4.nabble.com/GnuCash-User-f1415819.html _______________________________________________ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user If you are using Nabble or Gmane, please see https://wiki.gnucash.org/wiki/Mailing_Lists for more information. ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
