Help with re-cycling my tank

Question
QUESTION: Hi,
   I have been following your answers and this website, first of all thanks for the awesome information you have been providing to newbie's like me. I am totally new to fish hobby and just bought 10g tank as a B'day present for my Daugther, unfortunately I had not idea about cycling and gone through killing fish phase. Now I want to go slow with fishless cycle method and want your help to know what I did wrong.   

Tank Setup.
10g TopFin Aquarium Kit, Power filter, 50w heater
1 Driftwood from petland
2 small artificial plants.
colored gravel.   

I setup my tank on 6/20 and had it running for 3-4 days, then on 6/23 went to petsmart with my tank water and he tested those ok on pH, ammonnia, nitrite etc. and suggested I can buy fish today (my first mistake). I got 2 goldfish and put them in my tank. I changed 25% of water every 3 days, added Auaplus water conditioner also into new water. for first 5-6 days they were happy, eating flakes and pallets, then on 5th day one of them got white spots on skin. I went to petsmart and that guy told me its Ich and gave me a medicine. As per medicine instructions I took filter out, put the first dose and waited for 48 hrs, then after 48 hrs I put another dose...meanwhile my first fish did not show any recovery but she was just sitting at the bottom, not eating anything...after 48 hrs from second day I changed 30% water and put a new filter in. By now second fish also had white spots and first one looks like had fungus on body....by next day first one almost died and I had to take her out, by evening other one also had same symptons and was floating. I removed both, took water sample and went to store again. He did water test and told me Ammonia is little high but still ok for cyling phase, he suggested me to take Black Skirt Tetra which will help me during cycling phase. I bought two black skirt tetra, did 50% water change and put those in water tank. From day one they were very active BUT did not eat anything (flakes or pallets). Within 2-3 days they also got white spots...now this time I read somewhere about raising water temp to 80+ and put aquarium salt. I did that immediately. Next morning/evening fish had some relief from white spots but now they have rot fins, and looks like they also got fungus on their body. Within 1 day both of these also died.
Now I want to start the process again but not clear on couple of things.   
1. What went wrong in last 14 days of the cycling method I seleted.
2. How do I restart the process, do I need to take out everything from tank, wash it with bleach and put it back?
3. Can I keep some of the gravel from this tank to help boost the re-cycling process OR it will be risky as all my fish died cuz of fungus etc.
4. I have collected articles about fishless cycle and I am committed to go that route this time no matter how much it takes but shall I go with adding market ammonnia method or add fish food to rot in tank which will create ammonnia?   

Thanks a lot for your help in advance, I really did not wanted to kill any fish , I feel bad about killing those two beautiful goldfish

ANSWER: Hello Dheeraj:  Thank you for the email I will do my best to answer your questions.

1) What went wrong in the last 14 days of the cycling method.

What many people do not realize about cycling is that the word cycling refers to the nitrogen cycle and that new water in a fish tank must go through the nitrogen cycle before it is balanced.  The process should be called balancing because that is what must happen in the tank for fish to be safe.  The water must find a balance between the amount of waste products such as extra food, fish poop, and the size of the beneficial bacteria within the tank.  The beneficial bacteria have the role of consuming the waste before it begins to decay... the process of decomposition is what starts the nitrogen cycle.  As waste in the tank begins to decompose ammonia forms.  The ammonia as it ages breaks down and becomes nitrite which further breaks down and becomes nitrate.  The problem is this:  If the colony of bacteria can not consume the waste in the tank before ammonia is formed then the water chemistry becomes toxic and fish die.  If the colony of bacteria never reaches a size to break the cycle then mother nature does it for you by killing your fish with chemicals.  Once the fish are gone the waste stops and the tank water becomes safe again.  No fish means no poop, no food, etc.  Fish stores are happy to sell you fish as soon as soon as possible and sometimes before you should buy fish.  A new tank can take up to 30 days to cycle though most tanks cycle in about a week.  I never recommend using fish to cycle your tank. I prefer to seeding method where set the tank up and turn everything on and then feed the tank fish food each morning for a week.  Test the water and if the water chemistry is normal then add fish.

When you add fish to a tank that is still cycling it makes it more difficult for the tank water to find balance.  Fish are both a chemical and biological contribution to tank water in that they poop and urinate in the water both of which increases the bacteria's job and the consume oxygen, put off carbon dioxide, etc which also makes the bacteria's job harder to do.  What happened in your tank is this.... You tank water was trying to balance you added fish and the fish delayed the balancing process by causing the nitrogen cycle to continue.  Because the water chemistry was high, the fish got stressed out and got sick and then you added medication to the tank.  Medication also kills off the beneficial bacteria and the tank cannot cycle.  So then you are forced to change the water which stresses the fish more and they get worse and die.  I hope that makes sense:

2)/ 3) / 4)Cycle your tank with the seeding method which is outlined above.  If your tank  had ICH and the fish are all dead then so is the ICH you do not need to clean the tank. ICH cannot live if it does not find a host in 24 hours once it is in the free swimming stage.   You should keep everything including the water.... the tank will cycle without the fish in it.   use the fish food... it is what will draw the bacteria.  The bacteria is already present in tap water and your tank water should by now be full of it. The fish food will make the bacteria reproduce because their only purpose is to consume the waste.  The ammonia is not really relevant but is more of a bi-product of this method.  dave

---------- FOLLOW-UP ----------

QUESTION: I think now I understand what went wrong with my first try and will not go for fish cycling method ever. I would suggest all my freinds also about fishless cycling.
Just one more think, you suggested that I dont have to clear my tank as by now ICH would have died but so do bacteria. My feeling is now my tank had nothing in it and I should atleast clean it up and start fresh.

Answer
I wouldn't discard the water because the fungus, ICH and other bacteria are present in our tap water... Your tank is safe from disease for fish... it may not be safe from chemicals but there are no disease in your tank.  So if you throw out your tank water then you just prolong the cycling.  dave.