1- You sold two homes (both are principal residences)
2- For the first one that was owned since 2021, you will complete the T2091 for it, years or acquisition is 3 (you have to apply the +1 rule to the number of years owned)
3- the 2ns property is a principal residence as well...if you answered yes to line 17905 of Schedule 3, and then checked one of the life event boxes --> then it is not a flipping property:
- you need to fill another T2091, years of acquisition is 1 (again because of the +1 rule, it will never be less than one year)
- you need to fill section 8 since this is considered a personal property and the capital gain rule will apply where you have to pay taxes on 50% of the capital gain.
- don't fill section 5 of Schedule 3 otherwise it will double the taxable amount
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