Capital Loss, what is my best course of action, if any?

[sexpuppet6000]

I'm a mature part-time student with no taxable income. I will be attending University this coming September. Will be taking out OSAP loans. I might have a job in the future but my income will be less than 8000$ annual.

I sold a stock that I've had for a year or two and lost about 1500$. I've read that I can claim a capital loss against past/future capital gains. I am not sure if this statement is accurate.

How can I take advantage of this unfortunate situation?

[Archanfel]

I'm a mature part-time student with no taxable income. I will be attending University this coming September. Will be taking out OSAP loans. I might have a job in the future but my income will be less than 8000$ annual.

I sold a stock that I've had for a year or two and lost about 1500$. I've read that I can claim a capital loss against past/future capital gains. I am not sure if this statement is accurate.

How can I take advantage of this unfortunate situation?

You claim it on this year's tax return. That's about it. In the future, when you get a capital gain, you can then use the tax loss to reduce taxes. Unless you got past capital gains, if so, you can claim against them for the past three years (T1A I believe).

[WildEmu]

Remember, you can only claim capital losses against capital gains. So you won't be able to claim the capital loss against your employment income.

Capital losses have a carryback of 3 years and an indefinite carryforward.

[Ethan15]

I'm a mature part-time student with no taxable income. I will be attending University this coming September. Will be taking out OSAP loans. I might have a job in the future but my income will be less than 8000$ annual.

I sold a stock that I've had for a year or two and lost about 1500$. I've read that I can claim a capital loss against past/future capital gains. I am not sure if this statement is accurate.

How can I take advantage of this unfortunate situation?


Like others pointed out, Capital loss can be applied in the future against ONLY Taxable capital gain.

Your allowable capital loss for this year is $750 (1500/2) and this can offset any capital gain in the future.

You have to file this form http://www.cra-arc.gc.ca/E/pbg/tf/5000-s3/5000-s3-08e.pdf - note that you will have to have your T3, etc as to support your actual losses in case youre audited

[questrader]

Your $1500, you must make it back the same way you lost it... It's unfortunate, but those are the rules.

Now, if you want to learn how to wreak "financial revenge" on the stock market, I'm your man! Unfortunately I do charge $450/hour, so it might not be practical in your situation... ;)

[sexpuppet6000]

This loss was in 2009. Do I wait until next year this time next year to file the claim?

[ray420]

This loss was in 2009. Do I wait until next year this time next year to file the claim?

Yes you will claim on your 2009 tax return and carry forward indefinitely against any capital gains as mentioned earlier.

[ray420]

Your $1500, you must make it back the same way you lost it... It's unfortunate, but those are the rules.

Now, if you want to learn how to wreak "financial revenge" on the stock market, I'm your man! Unfortunately I do charge $450/hour, so it might not be practical in your situation... ;)

what do you mean make it back the same way you lost it? it's capital loss against any capital gains or is there something we missing?

[questrader]

what do you mean make it back the same way you lost it? it's capital loss against any capital gains or is there something we missing?

Yes!

[sensfan67]

On similar lines I am seeing in my notice of assessment that i have capital losses for past years. I checked my assessment notices and found that first time it showed up in 2006.
How can I claim past year capital losses against capital gains of 2008? I had trouble finding this in "ufile" software.

Thx

[ray420]

here is pretty much all one needs to know about capital losses and gains

http://www.taxtips.ca/filing/capitallosses.htm

[toothless889]

here is pretty much all one needs to know about capital losses and gains

http://www.taxtips.ca/filing/capitallosses.htm


"The only time they can be used to reduce other income is in the year of a taxpayer's death, or the immediately preceding year. At this time, 1/2 (50%) of the capital loss would be used to reduce other income."

Does that mean if I have net capital losses from other years on my 2008 notice of assessment (noa), that I can use 50% of it to reduce my regular income? Also to carry forward my capital losses from other years on 2008 noa, do I have to fill in a form or will cra automatically do it and show it on my 2009 noa? By the way I don't have any capital gains this year.

Thanks.

[asdfvcx]

Does that mean if I have net capital losses from other years on my 2008 notice of assessment (noa), that I can use 50% of it to reduce my regular income?
Only if you die during 2009 or 2010.

Also to carry forward my capital losses from other years on 2008 noa, do I have to fill in a form or will cra automatically do it and show it on my 2009 noa?
Automatically.

[g0blez]

How do I access the T1A form from ufile?! Does anyone know?