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T5008 specifying capital gains vs income

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Check off capital gains in interview setup (if reporting the capital gains). The section in your screenshot is for reporting as income (a subtle distinction that confused me too).

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Nope - I have the same screen and it is treating all the T5008 as capital gains - it shows up on the Schedule 3 . There doesn't seem to be a way to switch a T5008 to income - which would be a pain since all of mine were downloaded from the CRA. When I select T5008 below (Income from T-Slip) it is always treated as a capital gain.

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So I looked into this and it turns out that you are correct. I should have tested it out before making such an ill-informed suggestion. It turns out that this option is available in the 2018 version but not 2019. Here's the way to report taxable capital gains:

  1. Under Capital Gains and ABIL, choose Publicly traded shares, mutual fund units, deferral of eligible small business corporation shares, and other shares.
  2. There is an option to report 100% taxable capital gain.

You can still use the t5008 slips to calculate the ACB and capital gain still. Just remember to multiply by 2 to get the 100% taxable capital gain.

  1. Allow Ufile to total up the amounts from T5008 slips as usual (for investment income).
  2. Use the  Federal worksheet/schedule 3 to confirm amounts calculated.
  3. Confirm that the amounts, report as per the example picture below, and delete the t5008 slips.

See example below. I've tested it with expenses, and it seems to work. Let me know how it goes. Ufile seems to be happy with doing this calculation.

 

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Thanks for finding that - although it is rather painful since you have to manually enter the amount of capital gain at 100% inclusion rate. When you enter it here - where does it show up in the final tax return - what schedule?

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