How do you claim the deduction?

If you are eligible to claim the capital gains deduction against eligible taxable capital gains arising from the disposition of qualified property, you will first need to complete Schedule 3 to report the dispositions and calculate the taxable capital gain or net capital losses.

If you are reporting a reserve claimed on your 2015 return or claiming a reserve in 2016, you have to complete Form T2017, Summary of Reserves on Dispositions of Capital Property. Enter the amount from line 6706 of this form on line 192 of Schedule 3.

If you have investment income or investment expenses in any years from 1988 to 2016, you will also have to complete Form T936, Calculation of Cumulative Net Investment Loss (CNIL) to December 31, 2016. Enter the amount from line C of this form on line 28 of Form T657 for 2016.

Complete Form T657, Calculation of Capital Gains Deduction for 2016, to calculate your claim for the capital gains deduction.

Forms and publications

• Form T657, Calculation of Capital Gains Deduction for 2016
• Form T936, Calculation of Cumulative Net Investment Loss (CNIL) to December 31, 2016
• Form T2017, Summary of Reserves on Dispositions of Capital Property
• Schedule 3, Capital gains (or losses)

Related topics

• Line 127 - Capital gains
• Completing Schedule 3

Date modified:

2017-01-03