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Gold/Mining/Energy : Day trading in Canada -- Ignore unavailable to you. Want to Upgrade?

To: Kevin Hamlin who wrote (1087)	11/5/1998 8:30:00 PM
From: Wizzer	Read Replies (1) \| Respond to of 4467

Glad you brought up the topic Kevin. I am interested in this topic also. Regards, Wisam

To: Kevin Hamlin who wrote (1087)	11/5/1998 9:41:00 PM
From: keith massey	Read Replies (1) \| Respond to of 4467

Kevin and Wizzer I have heard from several sources and one newsletter writer that you can claim your tax loss on this year against you capital gains you claimed for the past three years. In other words, if you lost money this year you can get money back from other years that you had to pay against your capital gains. I pointed out a couple of months ago that I thought that tax sell off of the mining juniors would be particularly vicious this year. This tax rule is the main reason. Everyone who made tons of money in 1995-1997 playing mining juniors has lost money this year. If they don't sell the juniors the bought early this year for a loss by Dec 27 they cannot claim these loss against gains made in 1995. In other words they make some money back by selling these stocks at a large loss. One other tax tip - you can transfer stocks into your RRSPs and get the cash value of the stock as a RRSP contribution. For example if a stock is running and you don't want to sell but you know it is going to hurt you at tax time you can transfer it into your RRSP account and further gains will be tax free. Best Regards KEITH

To: Kevin Hamlin who wrote (1087)	11/6/1998 10:38:00 AM
From: the Chief	Respond to of 4467

I knew you could carry forward losses from previous years, but how does it work the other way around? Are you saying that if I had a gain last year (which has already been claimed on last year's taxes) and I have a loss this year....I can somehow work that to my advantage? I don't understand. I just called my accountant to confirm this. I guess I should stay more current with the taxation rule in Canada! What I thought I was describing was "forward income averaging"(suspended mid-96) which turns out to have been removed from the Income Tax Act since 1996! So unfortunately I was wrong! This facilty is no longer available to Canucks. However, the concept is still correct. If you sustain a capital loss this year and you have had capital gains in any of the past three years, just go to Revenue Canada and pick up form T1A (request for loss carry back) Pg 26, and fill in the form. You make pick any one of the past three years to apply your present loss to past gain. Obviously you are better to pick the year that you had the largest income! So again I was misleading, I had inferred you carry forward your gain to write off loss, when in actual fact you can carry back your loss to write off gain! the Chief