FAQ: How Does the Platform Deal with Capital Losses?

If you have non-registered investments that need to be sold at a loss to fund expenses, the platform will assume you are tax loss harvesting. As along as the overall value of the Non-Reg account is above the ACB it assumes that if some investments are being sold at a loss that some other investments are being sold at a gain to help utilize the loss.

If the overall value of the Non-Reg account is below the ACB the platform does not currently carry forward that capital loss but it will be captured on your notice of assessment and you can add it manually in future years.

To add a capital loss manually you will go to Planning > Projections and scroll down to the Table. You’ll open the Taxable Income columns using the “>” arrow. And then you can add the taxable portion of the capital loss as a -ve custom deduction to help offset any capital gains in that year.