Would the trading of securities, such as speculative futures and options contracts on commodities, by a corporation be on income or capital account and, if the former, would the gains or losses, as well as other income earned from the securities, be active business income? After referring to the statements in IT-479R, paras. 10-11, CRA stated:
If a taxpayer’s course of conduct indicates that they are carrying on a business in a similar manner as a trader or dealer in securities, in our view, the gains and losses would be part of the normal operation of such a trading business and would be on income account.