Hi everyone,
I am a salaried individual. In 2024, my capital gains exceeded $250,000 from disposition of equity securities. Is anyone in the same boat? If so how are you handling the filing of your taxes please?
$250,000 was the limit for the proposed changes under Trudeau government (changing the taxable capital gains, also referred to as the inclusion rate, from 50% to 66.67% on anything >$250,000 ). The change didn't go through but the CRA had implemented it for the tax year, initially. However, the CRA changed its position and went back to the 50% inclusion rate per updated gov. guideline for 2024. As a result, CRA is supposed to provide a relief period for such individuals until June 2, 2025 (no penalty/arrears, etc., etc.) to allow updating its own system in order to apply the correct inclusion rate of 50% for capital gains for individuals. This link is from Mar 21, 2025 and mentions the what I've described above: https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/impor[product key removed]iduals/filing-dates-tax-return.html
My questions are:
1. Has anyone checked whether turbotax/other services using the proposed Trudeau inclusion rates for 2024 capital gains or is it the 50% rate?
2. If I am waiting for June 2, 2025 deadline, do I need to provide anything to the CRA to let them know that I am an impacted individual and as a result should not be penalized for late filing?
Any guidance would be much appreciated. Also, I live in downtown Toronto and looking for tax experts. Any recommendations will be highly appreciated as well. Thank you!!
Kind Regards
Varun