Applying net capital loss from previous yearsYou have capital gains in the current taxation year. However, you have sustained some capital losses in the previous years.
You can request both the federal and provincial governments to have these net capital losses carried over to be applied against the current year's capital gains.For more information, please visit the following CRA link:
https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/deductions-credits-expenses/line-253-net-capital-losses-other-years.html
To carry over these losses using the program, please follow these steps:
1-On the "Left side menu on the Interview tab", select "Interview setup".
2-On the page appearing on the right, go to the group "Carryforward amounts and prior year information", check the box "Losses of prior years, carrybacks". Click "Next" at the bottom of the page.
3- Return to the "Left side menu on the Interview tab" and select "Losses of prior years and carrybacks".
4-On the screen generated on your right, go to the "Losses of other years" group and choose the line "Net capital losses of other years".
5-On the page that appears, enter the losses from previous years in the appropriate fields. You should first enter your capital gains.
The amounts will be reported to line 25300 of the federal returns and line 290 of the Quebec return.
The program will generate for the federal form "Applying net capital losses of other years to 2019" and Quebec form TP-729.
ID: 20191209120124DE.xml
Webpage: KPA330-20191209120124DE.htm