Net capital loss (no negative amount allowed on
line 12700)
As per the CRA's website: "On line 12700, enter the
positive amount from line 19900 on your Schedule 3. If
the amount on line 19900 on your Schedule 3 is negative
(a loss), do not claim the amount on line 12700 of your
tax return. We will register it on our system. Keep track of this
loss, which you can use to reduce your taxable capital gains of
other years."
Therefore, when you have a net capital loss, line
12700 remains blank. However, under the "Tax
Return" tab in the program, capital gains and losses are
shown on Schedule 3. The same principle applies to Quebec.
A capital loss will automatically be carried forward to the
following year by the program, if not applied to a capital
gain.
The CRA, and Revenu Québec if applicable, will report net
capital gains/losses on the Notice of Assessment after reviewing
your tax return.
For more information, please refer to the CRA website:
https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/personal-income/line-127-capital-gains/calculating-reporting-your-capital-gains-losses.html
ID: 20191218172031CA.xml
Webpage: KPA330-20191218172031CA.htm
