CanadaRick1
Returning Member

Applying a Capital Loss Against Other Income on a Final Return

I am filing a final return for a parent who died in 2019.  I have a capital loss balance available (as calculated on the Loss Worksheet).  CRA confirms that I can apply this loss against other income on a final return on Line 253.  But when I try to override the value in line 253, TurboTax returns me to the Loss Worksheet.  What line am I supposed to change on the worksheet in order have the value change on Line 253(00)?

ducal2001
New Member

Investors and rental owners

Did you receive an answer to this?  I am in the same boat!!

CanadaRick1
Returning Member

Investors and rental owners

I did not receive a reply, so here is what I did.  I printed up the T1 General and the  ON428 (or whichever would be the applicable provincial return for you), filled them in by hand with the appropriate adjustment on line 12700, and resulting impact on the provincial form, and submitted them with the original return along with a covering letter explaining my rationale.  Here's hoping it works!

TurboTaxHeba
Intuit Alumni

Investors and rental owners

The Carry Forward Net Capital Loss from prior years still has to be applied against a Capital Gain like any regular return.

 

It is the Net Capital Loss Incurred on the year of death that can be applied against any income and goes on Line 12700 with the negative amount. 

 

I am not sure which amount you are referring to, for questions for which personal information must be exchanged, you can contact us by phone or private message on our Facebook and Twitter social networks. 

We also offer tax expert services as needed. 

 

Thanks in advance for your understanding, 

CanadaRick1
Returning Member

Investors and rental owners

I understand that, but that was not the issue in my question.  The issue is, when you DO have net capital loss available and attempt to enter it (as per CRA guidance), Turbo Tax does not let you override the value.  So--how do I enter a net capital loss on a final return?

TurboTaxHeba
Intuit Alumni

Investors and rental owners

We are working on a fix for this issue, meanwhile, as a workaround, if you want to submit the return soon, you can print the return and add the negative value of the Net Capital Gain of the year of death on Line 12700 and recalculate the Federal and Provincial taxes.

 

 

kevin292
New Member

Investors and rental owners

Is there a fix for this yet?  I need to do the same and need to file  right away.  I can't override line 12700.

CanadaRick1
Returning Member

Investors and rental owners

Sorry for the late response--just got back into town.  I have not received any confirmation that the fix has been made.