How do I account for an increase in a stock trading account for a corporation where the value has increased only on paper?

Answer

That's not a taxable issue so is not reported on the T2. I haven't kept up to date with Canadian regulations for publicly traded corporations, but the requirement to report quarterly changes in American accounting circles has earned the ire of Warren Buffett. The main result of what he calls an asinine rule is to create large swings on the balance sheet and income statement every three months which have no relevance to normal corporate earnings activity.

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