Do non-capital loss carryback requests T1A & TP-1012.A get efiled or do they have to be filed on paper separately?

[Jamie S]

Does anyone know if T1A and the Quebec equivalent get efiled, or do you have to submit them separately?

[Geo123]

Hello Jamie S,

Is Netfiled.

Capital Loss Carry Back / T1A
If you incurred net capital losses in the current year, you can carry back these losses and apply them to the capital gains of the past THREE years.

1. In the "Left-side menu on the interview  tab", select "Interview setup".

2. On the right-hand side of the screen, go to the "Investment income and expenses" group, check the Box "Capital gains (or losses) and capital gain history", then go to the "Carryforward amounts and prior year information" group, check the Box for "Losses of prior years, carrybacks" and click on "Next" at the bottom of the screen.

3. Return to the "Left-side menu on the Interview tab" and select "Capital Gains (or losses) & ABIL" on the right-hand page, choose the option that suits you and enter your capital gains or capital losses.
4. Return once again to the "Left-side menu on the Interview tab" and select "Losses of prior years and carrybacks".

5. On the screen to the right, scroll down to "Loss carryback" group, and click on the plus "+" icon to the right of the line "T1A - Request for loss carryback (loss which occurred in 2022)".

5.    In the page that appears entitled "T1A - Request for current year loss carryback" choose the section that corresponds to your situation and select the year or years for which you want to apply your losses, starting with the loss from the earliest year to carry-back years.
6.    NOTE : For Stock / Share loss must include the inclusion rate of 50%

The program will generate Federal form T1A as well as Quebec form TP- 1012.A.

Quebec residents will have to print form TP- 1012.A, sign it and mail SEPARATELY from other documents, because it cannot be netfiled, whereas the Federal T1A can be sent via NETFILE.

The T1A does not affect the current year's tax return. The CRA and Revenu Québec will reassess the corresponding year's tax returns based on the information in the T1A or TP-1012. They will issue you a report later.

For more information on this topic, please see the following links

https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/personal-income/line-127-capital-gains/capital-losses-deductions.html
https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/deductions-credits-expenses/line-253-net-capital-losses-other-years.html

To carry back different types of losses, click  at the right.ie all types of losses

 
>>Have current year losses that can be applied (carried back) 
eg. Fishing Business Loss -10,000
 
Eg. NOTE : For Stock / Share loss must include the inclusion rate of 50%

Shares loss -10,000 / 2 (due to 50% inclusion rate) = 5,000

 
>>T1A Fishing Loss $10,000 CB
 
>>Shares loss $5,000 CB

[daryl.lafleur]

Geo123,

STRONGLY RECOMMENDED NEW FEATURE.

Since the TP-1012.A cannot be Netfiled, any user who completes one should receive an explicit prompt from UFile to print and mail the document.

Speaking as someone who considers himself to be tax-knowledgeable, experienced with tax software like UFile, and detail-oriented, I only investigated this point after receiving a separate CRA income tax payout for my T1A Netfile submission, and noting that I'd not received similar from RQ.

I suspect many users will omit this step, as I initially did.

Regards,

Daryl Lafleur

[Geo123]

Hello daryl.lafleur,

The TP-1012.A should be able to be netfiled, I do not find it on the RQ restrictions :

https://www.revenuquebec.ca/en/citizens/income-tax-return/filing-your-income-tax-return/filing-your-income-tax-return-online/tax-form-restrictions/

Please contact UFile Support with the error message you received. Please include above note.
Please open a request ticket and submit an anonymous file for review on-line at https://www.ufile.ca/contact/contact-us

[FabioFar]

Hello,

 

I have a non-capital loss this year that I would like to carry back to 2022 (where I paid a considerable amount of taxes). I'm trying to follow all of the help posted in this form to  add the T1A but I don't see have to add it. I've attached a screenshot of the Interview pane below. The only thing I see is the "Non- capital loss" form pasted below.

 

How can I claim the carry back loss?

[Geo123]

Hello FabioFar,

Capital Loss Carry Back / T1A
If you incurred net capital losses in the current year, you can carry back these losses and apply them to the capital gains of the past THREE years.

1. In the "Left-side menu on the interview  tab", select "Interview setup".

2. On the right-hand side of the screen, go to the "Investment income and expenses" group, check the Box "Capital gains (or losses) and capital gain history", then go to the "Carryforward amounts and prior year information" group, check the Box for "Losses of prior years, carrybacks" and click on "Next" at the bottom of the screen.

3. Return to the "Left-side menu on the Interview tab" and select "Capital Gains (or losses) & ABIL" on the right-hand page, choose the option that suits you and enter your capital gains or capital losses.
4. Return once again to the "Left-side menu on the Interview tab" and select "Losses of prior years and carrybacks".

5. On the screen to the right, scroll down to "Loss carryback" group, and click on the plus "+" icon to the right of the line "T1A - Request for loss carryback (loss which occurred in 2023)".

1.    In the page that appears entitled "T1A - Request for current year loss carryback" choose the section that corresponds to your situation and select the year or years for which you want to apply your losses, starting with the loss from the earliest year to carry-back years.
2.    NOTE : For Stock / Share loss must include the inclusion rate of 50%

The program will generate Federal form T1A as well as Quebec form TP- 1012.A.

Quebec residents will have to print form TP- 1012.A, sign it and mail SEPARATELY from other documents, because it cannot be netfiled, whereas the Federal T1A can be sent via NETFILE.

The T1A does not affect the current year's tax return. The CRA and Revenu Québec will reassess the corresponding year's tax returns based on the information in the T1A or TP-1012. They will issue you a report later.

For more information on this topic, please see the following links

https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/personal-income/line-127-capital-gains/capital-losses-deductions.html

Shares loss -10,000 / 2 (due to 50% inclusion rate) = 5,000