Net capital losses
What is a net capital loss?
Generally, when allowable capital losses are more than taxable capital gains, the difference is a net capital loss. The rate used to determine the taxable part of a capital gain and the allowable part of a capital loss is called an inclusion rate.
Net capital losses cannot be carried forward from a T1 return to a T3 return.
For 2019, the inclusion rate is one-half. Therefore, an allowable capital loss is one-half of a capital loss and a taxable capital gain is one-half of a capital gain.
Forms and publications
Report a problem or mistake on this page
- Date modified: