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Calculation of Capital Gains Deduction for 2023

T657

Use this form if you disposed of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) in 2023, or are reporting a reserve in 2023 from the disposition of QFFP, QSBCS, qualified farm property (QFP), or qualified fishing property (QXP). For the definitions of qualified farm or fishing property and qualified small business corporation shares, see the "Definitions" section in Guide T4037, Capital Gains.

Note
You have to be a resident of Canada throughout 2023 to be eligible to claim the capital gains deduction. For the purpose of this deduction, we also consider you to be a resident throughout 2023 if you were a resident of Canada for part of 2023 and throughout 2022 or 2024.

Deferred capital gains from the disposition of QSBCS do not qualify for this deduction.

If you have investment income or investment expenses in 2023, complete Form T936, Calculation of Cumulative Net Investment Loss (CNIL) to December 31, 2023, before you complete this form. Form T936 lists what we consider to be investment income and expenses.
If you are reporting a reserve claimed on your 2022 return or claiming a reserve in 2023, you also have to complete Form T2017, Summary of Reserves on Dispositions of Capital Property. To get these forms go to canada.ca/cra-forms-publications or call 1-800-959-8281.

What is the capital gains deduction limit?

If you disposed of QFFP, QSBCS, QFP, or QXP you may be eligible for the lifetime capital gains exemption (LCGE). Because you only include one half of a capital gain in your income, your cumulative capital gains deduction is one half the LCGE.

The total of your capital gains deductions on gains arising from dispositions in 2023 of qualifying capital property has increased to $485,595 (one half of the $971,190 LCGE for 2023).

For dispositions of QFFP after April 20, 2015, the LCGE has increased to $1,000,000. This additional deduction does not apply to dispositions of qualified QSBCS.

The limit on gains arising from dispositions in 2022 of qualifying capital property is $456,815
(one half of a lifetime LCGE of $913,630).
The limit on gains arising from dispositions in 2021 of qualifying capital property is $446,109
(one half of a lifetime LCGE of $892,218).
The limit on gains arising from dispositions in 2020 of qualifying capital property is $441,692
(one half of a lifetime LCGE of $883,384).
The limit on gains arising from dispositions in 2019 of qualifying capital property is $433,456
(one half of a lifetime LCGE of $866,912).
The limit on gains arising from dispositions in 2018 of qualifying capital property is $424,126
(one half of a lifetime LCGE of $848,252).
The limit on gains arising from dispositions in 2017 of qualifying capital property is $417,858
(one half of a lifetime LCGE of $835,716).
The limit on gains arising from dispositions in 2016 of qualifying capital property is $412,088
(one half of a lifetime LCGE of $824,176).
The limit on gains arising from dispositions in 2015 of qualifying capital property is $406,800
(one half of a lifetime LCGE of $813,600).
The limit on gains arising from dispositions in 2014 of qualifying capital property is $400,000
(one half of a lifetime LCGE of $800,000).
The limit on gains arising from the dispositions of qualifying capital property after 2008 and before 2014 is $375,000
(one half of a lifetime LCGE of $750,000).

For more information, see the section called "Claiming a capital gains deduction" in Guide T4037, Capital Gains.

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Qualified farm or fishing property (QFFP) and qualified small business corporation shares (QSBCS)

When you dispose of QFFP, or QSBCS and have a capital gain, you can claim a capital gains deduction in 2023 that is equal to one of the following amounts, whichever is less:

your annual gains limit for 2023;
your cumulative gains limit for 2023;
your net taxable capital gains reported in 2023 from dispositions of QFFP or QSBCS or if you are reporting a reserve in 2023 from the disposition of qualifying capital property
your maximum capital gains deduction available for 2023.

There is an election available to you if you own shares of a qualifying small business corporation that stops being a small business corporation because of one of the following reasons:

a class of its shares is listed on a designated stock exchange
after 1999, a class of another corporation's shares is listed on a designated stock exchange.

This election will allow you to report a taxable capital gain on your return and claim the $485,595 capital gains deduction, even though you did not actually sell your shares. The deduction applies to any gain you have on these shares to the date the shares are listed. To make this election, complete Form T2101, Election for Gains on Shares of a Corporation Becoming Public. To get this form go to canada.ca/cra-forms-publications or call 1-800-959-8281.

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Calculation of Capital Gains Deduction for 2023

T657

Part 1 - Calculating your annual gains limit for 2023


Total of lines 10700, 11000, and 12400 of Schedule 3 (if the amount is a loss, show it in brackets)				1
Total of lines 7 and 11 of Form T2017 (if the amount is a loss, show it in brackets)			+	2
Total net capital gains (or losses): Line 1 plus line 2 (if the amount is a loss, show it in brackets)			=	3
Total taxable capital gains (or losses): amount from line 3	X 1/2 =		=	4

Total taxable capital gains or net capital losses from line 19900 of Schedule 3 (if the amount is a loss, show it in brackets)				5
Amount from line 17600 on Schedule 3 (if negative, enter "0")	X 1/2 =		-	6
Line 5 minus line 6			=	7
Enter the amount from line 4 or 7, whichever is less; (if line 8 is zero, you cannot claim a capital gains deduction for 2023)		2023 eligible taxable capital gains				8

Net capital losses of other years deducted in 2023 (line 25300 of your 2023 return).				9
Net capital losses of other years applied against net non-eligible taxable capital gains in 2023 (line 9 of Chart A of Form T936 for 2023)			-	10
Net capital losses of other years: Line 9 minus line 10; if negative, enter "0"			=	11
Allowable business investment losses (line 21700 of your 2023 return)			+	12
Line 11 plus line 12			=		-	13

Line 8 minus line 13 (if negative, enter "0")		Annual gains limit for 2023			=	14

If line 14 is zero, do not complete the rest of this form, because you cannot claim a capital gains deduction for 2023.

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Part 2 - Calculating your cumulative gains limit for 2023

Total taxable capital gains reported after 1984 and before 1992
(line 127 of your returns for these years).
Do not include reserves reported on property disposed of before 1985.

1992 and 1993 eligible taxable capital gains
(line 3 in Part 1 of Form T657 or T657A for 1992 and 1993)

1994 eligible taxable capital gains
(line 5 in Part 1 of Form T657 or T657A for 1994)

1995 eligible taxable capital gains
(line 7 in Part 1 of Form T657 or line 3 of Form T657A for 1995)

1996 to 1999 eligible taxable capital gains
(line 8 in Part 1 of Form T657 for those years)

2000 eligible taxable capital gains
(line 7 in Part 1 of Form T657 for 2000)

2001 eligible taxable capital gains
(line 8 in Part 1 of Form T657 for 2001)

2002 to 2023 eligible taxable capital gains (line 10 in Part 1 of Form T657 for 2002 to 2017 or line 8 in Part 1 of Form T657 for 2018 and later years)

Total of lines 15 to 22

Cumulative eligible taxable capital gains

Allowable capital losses claimed in 1985
(amount shown in brackets on line 127 of your 1985 return; maximum of $2,000)

Allowable business investment losses claimed after 1984 and before 2023
(line 217 on your returns for 1985 to 2018 and line 21700 on your returns for 2019 and later years)

Net capital losses of other years claimed after 1984 and before 2023
(enter the total of amounts in column G of Chart 1 on the last page)

Total losses used to calculate your annual gains limit for 2023
(from line 13 of Part 1 above)

Cumulative net investment loss to December 31, 2023
(line C in Part 3 of Form T936 for 2023)

Total capital gains deductions claimed after 1984 and before 2023
(line 254 on your returns for 1985 to 2018 and line 25400 of your returns for 2019 and later years)

Total of lines 24 to 29

Line 23 minus line 30 (if negative, enter "0")

Cumulative gains limit for 2023

If line 31 is zero, do not complete the rest of this form, because you cannot claim a capital gains deduction for 2023.

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Part 3a -

Calculating your capital gains deduction on qualified farm or fishing property and
qualified small business corporation shares

Complete this part if you are reporting a reserve in 2023 on dispositions of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) to your child in 2014.


Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2014					32
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note A below)				-	33
Capital gains deduction available for QFFP and/or QSBCS disposed of in 2014 included in your 2023 income (line 32 minus line 33; if negative, enter "0")				=		34

	Line 3 of Form T2017
	Reserve from from a disposition of QFFP in any year other than 2014 per note 1	-
Line 3 of Form T2017. If this amount is negative, enter in brackets. (see note 1 below) .		=	35
	Line 11 of Form T2017
	Reserve from a disposition of QSBCS in any year other than 2014 per note 2	-
Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 2 below)		=	36
Line 35 plus line 36; Taxable capital gains from a reserve on QFFP and/or QSBCS disposed of in 2014 included in your 2023 income (if negative, enter "0").		=	x 1/2 =			37

Enter the amount from lines 34 or 37, whichever is less.						38

If you did not dispose of QFFP or QSBCS in 2023, and you are not bringing a reserve into 2023 income for any disposition after 2014, the maximum amount you can enter on line 25400 of your 2023 return is the lesser amount of line 14, line 31, and line 38. You can, however, choose to claim less than the maximum.

Note A
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2014 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 33 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2014 Form T657 plus the amount of all capital gains deductions you have already claimed from 2014 to 2022 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2014 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2014 to the year the other gains are reported (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 33.

Note 1
If line 3 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2014, remove that part from the amount you enter here.
Note 2
If line 11 of your Form T2017 includes a reserve from a disposition of QSBCS in any year other than 2014, remove that part from the amount you enter here.

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Part 3b -

Calculating your capital gains deduction on qualified farm or fishing property and
qualified small business corporation shares

Complete this part if you are reporting a reserve in 2023 on dispositions of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) to your child in 2015.

Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2015					39
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note B below)				-	40
Capital gains deduction available for QFFP and/or QSBCS disposed of in 2015 included in your 2023 income (line 39 minus line 40; if negative, enter "0") (see note 3 below).				=		41
	Line 7 of Form T2017
	Reserve from a disposition of QFFP in any year other than 2015 per note 4	-
Line 7 of Form T2017. If this amount is negative, enter in brackets. (see note 4 below).		=	42
	Line 11 of Form T2017
	reserve from a disposition of QSBCS in any year other than 2015 per note 5	-
Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 5 below).		=	43
Line 42 plus line 43; Taxable capital gains from a reserve on QFFP and/or QSBCS disposed of in 2015 included in your 2023 income (if negative, enter "0")			x 1/2 =			44
Enter the amount from line 41 or line 44, whichever is less.						45
Enter the amount from line 38 of Part 3a. If you did not complete Part 3a, enter "0".					+	46
Line 45 plus line 46; Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction					=	47

If you are reporting a reserve in 2023 from the disposition of QFFP after April 20, 2015 and before 2016, and each of line 14 from Part 1, line 31 from Part 2, and line 47 is greater than or equal to line 41, complete Part 3c.

If you are not reporting a reserve in 2023 from the disposition of QFFP after April 20, 2015 and before 2016, not bringing a reserve into 2023 income for any disposition of QFFP or QSBCS after 2015, and not dispose of QFFP or QSBCS in 2023, the maximum amount you can enter on line 25400 of your 2023 return is the lesser amount of lines 14, 31, and 47. You can, however, choose to claim less than the maximum.

Note B
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2015 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 40 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2015 Form T657 plus the amount of all capital gains deductions you have already claimed, from 2015 to 2022 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2015 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2015 to the year the other gains are reported (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 40.

Note 3
You must also subtract from line 39 above, the amount from the last line you completed of line 38 of Part 3a.
Note 4
If line 7 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2015, remove that part from the amount you enter here.
Note 5
If line 11 of your Form T2017 includes a reserve from a disposition of QSBCS in any year other than 2015, remove that part from the amount you enter here.

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Part 3c -

Calculating your capital gains deduction on qualified farm or fishing property

Complete this part only if you meet the following conditions:

you are reporting a reserve in 2023 from the disposition of qualified farm or fishing property (QFFP) to your child after April 20, 2015 and before 2016
each of lines 14, 31, and 47 are all greater than or equal to the amount on line 41 of Part 3b

Note
For this period, there is an additional $93,200 to the capital gains deduction limit that can only be used after your cumulative capital gains deduction of $406,800 has been used up. This additional amount does not apply to dispositions of qualified small business corporation shares (QSBCS).


Maximum capital gains deduction for QFFP disposed of after April 20, 2015, and before 2016					48
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note C below)				-	49
Capital gains deduction available for QFFP disposed of after April 20, 2015 and before 2016 included in your 2023 income (line 48 minus line 49; if negative, enter "0") (see note 6 below)				=		50

	Line 6 of Form T2017
	Reserve from a disposition of QFFP in any year other than 2015 per note 7	-
Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 7 below)		=	x 1/2 =			51

Enter the amount from line 50 or line 51, whichever is less.						52
Enter the amount from lines 47 of Part 3b.					+	53
Line 52 plus line 53.					=	54
Enter the amount from line 51 or line 54, whichever is less. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.					=	55

If you did not dispose of QFFP or QSBCS in 2023, and you are not bringing a reserve into 2023 income for any disposition after 2015, the maximum capital gains deduction you can claim at line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, or 55. You can, however, choose to claim less than the maximum.

Note C
You may have claimed a capital gains deduction for other eligible capital gains amounts after April 20, 2015 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 49 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2016 Form T657 that only includes amounts claimed before April 21, 2015, plus the amount of all capital gains deductions you have already claimed after April 20, 2015 and before 2016 in respect of this reserve. Also, add to this amount the capital gains deductions you claimed after December 31, 2015 to 2022, for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from April 20, 2015 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2015 to the year the other gains are reported (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 49.

Note 6
You must also subtract from line 48 above, the amount from line 47 of Part 3b.
Note 7
If line 6 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2015, remove that part from the amount you enter here.

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Part 3d -

Calculating your capital gains deduction on qualified farm or fishing property, and
qualified small business corporation shares

Complete this part if you are reporting a reserve in 2023 on dispositions of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) to your child in 2016.


Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2016					56
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note D below)				-	57
Capital gains deduction available for dispositions of QFFP and/or QSBCS disposed of in 2016 included in your 2023 income (line 56 minus line 57; if negative, enter "0".) (see note 8 below)				=		58

	Line 6 of Form T2017
	Rreserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2016 per note 9	-
Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 9 below)		=	59
	Line 11 of Form T2017
	Rreserve(s) from a disposition(s) of QSBCS in any year other than 2016 per note 10	-
Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 10 below)		=	60
Line 59 plus line 60; Taxable capital gains from a reserve on QFFP and/or QSBCS disposed of in 2016 included in your 2023 income (if negative, enter "0").		=	x 1/2 =			61

Enter the amount from line 58 or 61, whichever is less.						62
Enter the amount from the last line you completed of lines 38, 47, and 55. If you did not complete Part 3a, 3b, or 3c, enter "0".					+	63
Line 62 plus line 63; Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction					=	64

If you are reporting a reserve in 2023 from the disposition of QFFP in 2016, and each of line 14 from Part 1, line 31 from Part 2, and line 64 is greater than or equal to line 58, complete Part 3e.

If you are not reporting a reserve in 2023 income from the disposition of QFFP in 2016, you did not dispose of QFFP or QSBCS in 2023, and you are not bringing a reserve into 2023 income for any disposition after 2016, the maximum amount you can enter on line 25400 of your 2023 return is the lesser amount of lines 14, 31, and 64. You can, however, choose to claim less than the maximum.

Note D
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2016 to 2022.If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 57 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2016 Form T657 plus the amount of all capital gains deductions you have already claimed from 2016 to 2022 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2016 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2016 to 2022 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 57.

Note 8
You must also subtract from line 56 above, the amount from the last line you completed of line 38 of Part 3a, line 47 of Part 3b, and line 55 of Part 3c.
Note 9
If line 6 of your Form T2017 includes a reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2016, remove that part from the amount you enter here.
Note 10
If line 11 of your Form T2017 includes a reserve(s) from a disposition(s) of QSBCS in any year other than 2016, remove that part from the amount you enter here.

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Part 3e -

Calculating your capital gains deduction on qualified farm or fishing property

Complete this part only if you meet the following conditions:

you are reporting a reserve in 2023 from the disposition of qualified farm or fishing property (QFFP) to your child in 2016
each of lines 14, 31, and 64 are all greater than or equal to the amount on line 58 of Part 3d

Note
For 2016, there is an additional $87,912 to the capital gains deduction limit that can only be used after your cumulative capital gains deduction of $412,088 has been used up. This additional amount does not apply to dispositions of qualified small business corporation shares.


Maximum capital gains deduction for QFFP disposed of in 2016					65
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note E below)				-	66
Capital gains deduction available for QFFP disposed of in 2016 included in your 2023 income (line 65 minus line 66; if negative, enter "0") (see note 11 below)				=		67

	Line 6 of Form T2017
	Reserve from a disposition of QFFP in any year other than 2016 per note 12	-
Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 12 below)		=	x 1/2 =			68

Enter the amount from line 67 or 68, whichever is less.						69
Enter the amount from lines 64 of Part 3d.					+	70
Line 69 plus line 70.					=	71
Enter the amount from line 68 or 71, whichever is less. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.					=	72

If you did not dispose of QFFP or QSBCS in 2023, and you are not bringing a reserve into 2023 income for any disposition after 2016, the maximum capital gains deduction you can claim at line 25400 of your 2023 income tax and benefit return is the lesser amounts of lines 14, 31, or 72. You can, however, choose to claim less than the maximum.

Note E
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2016 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 66 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2016 Form T657 plus the amount of all capital gains deductions you have already claimed from 2016 to 2022, for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2016 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2016 to 2022 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 66.

Note 11
You must also subtract from line 74 above, the amount from line 64 of Part 3d.
Note 12
If line 6 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2016, remove that part from the amount you enter here.

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Part 3f -

Calculating your capital gains deduction on qualified farm or fishing property and
qualified small business corporation shares

Complete this part if you are reporting a reserve in 2023 on dispositions of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) to your child in 2017.


Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2017					73
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note F below)				-	74
Capital gains deduction available for dispositions of QFFP and/or QSBCS disposed of in 2017 included in your 2023 income (line 73 minus line 74; if negative, enter "0".) (see note 13 below) .)				=		75

	Line 6 of Form T2017
	Reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2017 per note 14	-
Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 14 below).		=	76
	Line 11 of Form T2017
	Reserve(s) from a disposition(s) of QSBCS in any year other than 2017 per note 15	-
Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 15 below).		=	77
Line 76 plus line 77; Taxable capital gains from a reserve on QFFP and/or QSBCS disposed of in 2017 included in your 2023 income (if negative, enter "0")			x 1/2 =			78
Enter the amount from line 75 or 78, whichever is less.						79
Enter the amount from the last line you completed of lines 38, 47, 55, 64, and 72. If you did not complete Part 3a, 3b, 3c, 3d, or 3e, enter "0"					+	80
Add lines 79 and 80. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction					=	81

If you are reporting a reserve in 2023 from a disposition of QFFP in 2017 , and each of line 14 from Part 1, line 31 from Part 2, and line 81 is greater than or equal to line 75, complete Part 3g.

If you are not reporting a reserve in 2023 income from the disposition of QFFP in 2017, you did not dispose of QFFP or QSBCS in 2023 and are not bringing reserve into 2023 income from any disposition after 2017, the maximum amount you can enter on line 25400 of your 2023 return is the lesser amount of lines 14, 31, and 81. You can, however, choose to claim less than the maximum.

Note F
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2017 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 74 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2017 T657 Form plus the amount of all capital gains deductions you have already claimed in 2022, for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2017 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2017 to 2022 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 74.

Note 13
You must also subtract from line 73 above, the amount from the last line you completed of line 38 of Part 3a, line 47 of Part 3b, line 55 of Part 3c, line 64 of Part 3d, and line 72 of Part 3e.
Note 14
If line 6 of your Form T2017 includes a reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2017, remove that part from the amount you enter here.
Note 15
If line 11 of your Form T2017 includes a reserve(s) from a disposition(s) of QSBCS in any year other than 2017, remove that part from the amount you enter here.

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Part 3g -

Calculating your capital gains deduction on qualified farm or fishing property

Complete this part only if:

you disposed of qualified farm or fishing property (QFFP) to your child in 2017
each of lines 14, 31, and 81 are all greater than or equal to the amount on line 75 of Part 3f

Note
For 2017, there is an additional $0 to the capital gains deduction limit that can only be used after your cumulative capital gains deduction of $500,000 has been used up. This additional amount does not apply to dispositions of qualified small business corporation shares (QSBCS).


Maximum capital gains deduction for QFFP disposed of in 2017					82
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note G below)				-	83
Capital gains deduction available for QFFP disposed of in 2017 included in your 2023 income (line 82 minus line 83; if negative, enter "0") (see note 16 below)				=		84

	Line 6 of Form T2017
	Reserve from a disposition of QFFP in any year other than 2017 per note 17	-
Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 17 below).		=	x 1/2 =			85
Enter the amount from line 84 or 85, whichever is less.						86
Enter the amount from 81 of Part 3f.					+	87
Line 86 plus 87.					=	88
Enter the amount from line 85 or 88, whichever is less. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.					=	89

If you did not dispose of QFFP or QSBCS in 2023, and are not bringing a reserve into 2023 income for any disposition after 2017, the maximum capital gains deduction you can claim at line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, or 89. You can, however, choose to claim less than the maximum.

Note G
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2017 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 83 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2017 T657 Form plus the amount of all capital gains deductions you have already claimed in 2022, for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2017 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2017 to 2022 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 83.

Note 16
You must also subtract from line 82 above, the amount from line 81 of Part 3f.
Note 17
If line 6 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2017, remove that part from the amount you enter here.

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Part 3h -

Calculating your capital gains deduction on qualified farm or fishing property and
qualified small business corporation shares

Complete this part if you are reporting a reserve in 2023 on dispositions of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) in 2018.


Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2018					90
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note H below)				-	91
Capital gains deduction available for QFFP and/or QSBCS disposed of in 2018 included in your 2023 income (line 90 minus line 91; if negative, enter "0".) (see note 18 below)				=		92

	Line 6 of Form T2017
	Reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2018 per note 19	-
Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 19 below).		=	93
	Line 11 of Form T2017
	Reserve(s) from a disposition(s) of QSBCS in any year other than 2018 per note 20	-
Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 20 below).		=	94
Line 93 plus line 94; Taxable capital gains from a reserve on QFFP and/or QSBCS disposed of in 2018 included in your 2023 income (if negative, enter "0").			x 1/2 =			95
Enter the amount from line 92 or 95, whichever is less.						96
Enter the amount from the last line you completed of lines 38, 47, 55, 64, 72, 81, and 89. If you did not complete Part 3a, 3b, 3c, 3d, 3e, 3f, or 3g, enter "0"					+	97
Add lines 96 and 97. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction					=	98

If you are reporting a reserve in 2023 from a disposition of QFFP in 2018, and each of line 14 from Part 1, line 31 from Part 2, and line 98 is greater than or equal to line 92, complete Part 3i.

If you are not reporting a reserve in 2023 income from the disposition of QFFP in 2018, you did not dispose of QFFP or QSBCS in 2023 and you are not bringing a reserve into 2023 income from any disposition after 2018, the maximum amount you can enter on line 25400 of your 2023 return is the lesser amount of lines 14, 31, and 98. You can, however, choose to claim less than the maximum.

Note H
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2018 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 91 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2018 Form T657 plus the amount of all capital gains deductions you have already claimed in 2022 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2018 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2018 to 2022 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 91.

Note 18
You must also subtract from line 90 above, the amount from the last line you completed of line 38 of Part 3a, line 47 of Part 3b, line 55 of Part 3c, line 64 of Part 3d, line 72 of Part 3e, line 81 of Part 3f, and line 89 of Part 3g.
Note 19
If line 6 of your Form T2017 includes a reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2018, remove that part from the amount you enter here.
Note 20
If line 11 of your Form T2017 includes a reserve(s) from a disposition(s) of QSBCS in any year other than 2018, remove that part from the amount you enter here.

14
	Protected B when completed

Part 3i -

Calculating your capital gains deduction on qualified farm or fishing property

Complete this part only if:

you disposed of qualified farm or fishing property (QFFP) in 2018
each of lines 14, 31, and 98 are all greater than or equal to the amount on line 92 of Part 3i.

Note
For 2018, there is an additional $75,874 to the capital gains deduction limit that can only be used after your cumulative capital gains deduction of $424,126 has been used up. This additional amount does not apply to dispositions of qualified small business corporation shares (QSBCS).


Maximum capital gains deduction for QFFP disposed of in 2018					99
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note I below)				-	100
Capital gains deduction available for QFFP disposed of in 2018 included in your 2023 income (line 99 minus line 100; if negative, enter "0") (see note 21 below)				=		101

	Line 6 of Form T2017
	Reserve from a disposition of QFFP in any year other than 2018 per note 22	-
Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 22 below).		=	x 1/2 =			102
Enter the amount from line 101 or 102, whichever is less.						103
Enter the amount from line 98 of Part 3h.					+	104
Line 103 plus 104.					=	105
Enter the amount from line 102 or 105, whichever is less. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.					=	106

If you did not dispose of QFFP or QSBCS in 2023, and you are not bringing a reserve into 2023 income for any disposition after 2018, the maximum capital gains deduction you can claim at line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, or 106. You can, however, choose to claim less than the maximum.

Note I
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2018 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 100 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2018 Form T657 plus the amount of all capital gains deductions you have already claimed in 2022 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2018 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2018 to 2022 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 100.

Note 21
You must also subtract from line 99 above, the amount from line 98 of Part 3h.
Note 22
If line 6 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2018, remove that part from the amount you enter here.

15
	Protected B when completed

Part 3j -

Calculating your capital gains deduction on qualified farm or fishing property and
qualified small business corporation shares

Complete this part if you are reporting a reserve in 2023 on dispositions of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) in 2019.


Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2019					107
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note J below)				-	108
Capital gains deduction available for QFFP and/or QSBCS disposed of in 2019 included in your 2023 income (line 107 minus line 108; if negative, enter "0".) (see note 23 below)				=		109

	Line 6 of Form T2017
	Reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2019 per note 24	-
Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 24 below).		=	110
	Line 11 of Form T2017
	Reserve(s) from a disposition(s) of QSBCS in any year other than 2019 per note 25	-
Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 25 below).		=	111
Line 110 plus line 111; Taxable capital gains from a reserve on QFFP and/or QSBCS disposed of in 2019 included in your 2023 income (if negative, enter "0").			x 1/2 =			112
Designations of taxable capital gains distributed by a trust from reporting a reserve from the disposition of QSBCS/QFFP in 2019 included in your 2023 income					+	113
Line 112 plus line 113					=	114
Enter the amount from line 109 or 114; whichever is less.						115
Enter the amount from the last line you completed of lines 38, 47, 55, 64, 72, 81, 89, 98, and 106. If you did not complete Part 3a, 3b, 3c, 3d, 3e, 3f, 3g, 3h, or 3i, enter "0"					+	116
Add lines 115 and 116. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction					=	117

If you are reporting a reserve in 2023 from a disposition of QFFP in 2019 , and each of line 14 from Part 1, line 31 from Part 2, and line 117 is greater than or equal to line 109, complete Part 3k.

If you are not reporting a reserve in 2023 income from the disposition of QFFP in 2019 and did not dispose of QFFP or QSBCS in 2023, the maximum amount you can enter on line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, and 117. You can, however, choose to claim less than the maximum.

Note J
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2019 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 108 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2019 Form T657 plus the amount of all capital gains deductions you have already claimed in 2022 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2019 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2019 to 2022 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 108.

Note 23
You must also subtract from line 107 above, the amount from the last line you completed of line 38 of Part 3a, line 47 of Part 3b, line 55 of Part 3c, line 64 of Part 3d, line 72 of Part 3e, line 81 of Part 3f, line 89 of Part 3g, line 98 of Part 3h, and line 106 of Part 3i.
Note 24
If line 6 of your Form T2017 includes a reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2019, remove that part from the amount you enter here.
Note 25
If line 11 of your Form T2017 includes a reserve(s) from a disposition(s) of QSBCS in any year other than 2019, remove that part from the amount you enter here.

16
	Protected B when completed

Part 3k -

Calculating your capital gains deduction on qualified farm or fishing property

Complete this part only if:

you disposed of qualified farm or fishing property (QFFP) in 2019
each of lines 14, 31, and 117 are all greater than or equal to the amount on line 109 of Part 3j.

Note
For 2019, there is an additional $66,544 to the capital gains deduction limit that can only be used after your cumulative capital gains deduction of $433,456 has been used up. This additional amount does not apply to dispositions of qualified small business corporation shares (QSBCS).


Maximum capital gains deduction for QFFP disposed of in 2019					118
Capital gains deductions from previous years (line k of Chart 2 on this form) (see note K below)				-	119
Capital gains deduction available for QFFP disposed of in 2019 included in your 2023 income (line 118 minus line 119; if negative, enter "0") (see note 26 below)				=		120

	Line 6 of Form T2017
	Reserve from a disposition of QFFP in any year other than 2019 per note 27	-
Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 27 below).		=	x 1/2 =			121
Designations of taxable capital gains distributed by a trust from reporting a reserve from the disposition of QFFP in 2019 included in your 2023 income					+	122
Line 121 plus line 122					=	123
Enter the amount from line 120 or 123, whichever is less.						124
Enter the amount from line 117 of Part 3j.					+	125
Line 124 plus 125.					=	126
Enter the amount from line 123 or 126, whichever is less. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.					=	127

If you did not dispose of QFFP or QSBCS in 2023, the maximum capital gains deduction you can claim at line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, or 127. You can, however, choose to claim less than the maximum.

Note K
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2019 to 2022. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 119 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2019 Form T657 plus the amount of all capital gains deductions you have already claimed in 2022 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2019 to 2022 minus the maximum capital gains exemption increase allowed for other gains from 2019 to 2022 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 119.

Note 26
You must also subtract from line 118 above, the amount from line 117 of Part 3j.
Note 27
If line 6 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2019, remove that part from the amount you enter here.

17
	Protected B when completed

Part 3l -

Calculating your capital gains deduction on qualified farm or fishing property and
qualified small business corporation shares

Complete this part if you are reporting a reserve in 2023 on dispositions of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) in 2020.

Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2020

128

Capital gains deductions from previous years
(line k of Chart 2 on the last page) (see note L below)

129

Capital gains deduction available for QFFP and/or QSBCS disposed of in 2020 included in your 2023 income (line 128 minus line 129; if negative, enter "0".) (see note 28 below)

130

Line 6 of Form T2017

Reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2020 per note 29

Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 29 below).

Line 11 of Form T2017

Reserve(s) from a disposition(s) of QSBCS in any year other than 2020 per note 30

Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 30 below).

Amount A plus amount B; Taxable capital gains from a reserve on QFFP and/or QSBCS disposed of in 2020 included in your 2023 income (if negative, enter "0").

x 1/2 =

131

Designations of taxable capital gains distributed by a trust from reporting a reserve from the disposition of QSBCS/QFFP in 2020 included in your 2023 income

132

Line 131 plus line 132

133

Enter the amount from line 130 or 133; whichever is less.

134

Enter the amount from the last line you completed of lines 38, 47, 55, 64, 72, 81, 89, 98, 106, 117, and 127. If you did not complete parts 3a to 3k enter "0".

135

Add lines 134 and 135. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction

136

If you are reporting a reserve in 2023 from a disposition of QFFP in 2020 , and each of line 14 from Part 1, line 31 from Part 2, and line 136 is greater than or equal to line 130, complete Part 3m.

If you are not reporting a reserve in 2023 income from the disposition of QFFP in 2020 and did not dispose of QFFP or QSBCS in 2023, the maximum amount you can enter on line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, and 136. You can, however, choose to claim less than the maximum.

Note L
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2020 to 2023. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 129 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2020 Form T657 plus the amount of all capital gains deductions you have already claimed in 2023 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2020 to 2023 minus the maximum capital gains exemption increase allowed for other gains from 2020 to 2023 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 129.

Note 28
You must also subtract from line 128 above, the amount from the last line you completed of line 38 of Part 3a, line 47 of Part 3b, line 55 of Part 3c, line 64 of Part 3d, line 72 of Part 3e, line 81 of Part 3f, line 89 of Part 3g, line 98 of Part 3h, line 106 of Part 3i, line 117 of Part 3j, and line 127 of Part 3k.
Note 29
If line 6 of your Form T2017 includes a reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2020, remove that part from the amount you enter here.
Note 30
If line 11 of your Form T2017 includes a reserve(s) from a disposition(s) of QSBCS in any year other than 2020, remove that part from the amount you enter here.

18
	Protected B when completed

Part 3m -

Calculating your capital gains deduction on qualified farm or fishing property

Complete this part only if you meet the following conditions:

you disposed of qualified farm or fishing property (QFFP) in 2020
each of lines 14, 31, and 136 are all greater than or equal to the amount on line 130 of Part 3l.

Note
For 2020, there is an additional $58,308 to the capital gains deduction limit that can only be used after your cumulative capital gains deduction of $441,692 has been used up. This additional amount does not apply to dispositions of qualified small business corporation shares (QSBCS).

Maximum capital gains deduction for QFFP disposed of in 2020

137

Capital gains deductions from previous years
(line k of Chart 2 on the last page) (see note M below)

138

Capital gains deduction available for QFFP disposed of in 2020 included in your 2023 income (line 137 minus line 138; if negative, enter "0")
(see note 31 below)

139

Line 6 of Form T2017

Reserve from a disposition of QFFP in any year other than 2020 per note 32

Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 32 below).

x 1/2 =

140

Designations of taxable capital gains distributed by a trust from reporting a reserve from the disposition of QFFP in 2020 included in your 2023 income

141

Line 140 plus line 141

142

Enter the amount from line 139 or 142, whichever is less.

143

Enter the amount from line 136 of Part 3l.

144

Line 143 plus 144.

145

Enter the amount from line 142 or 145, whichever is less. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.

146

If you did not dispose of QFFP or QSBCS in 2023, the maximum capital gains deduction you can claim at line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, or 146. You can, however, choose to claim less than the maximum.

Note M
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2020 to 2023. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 138 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2020 Form T657 plus the amount of all capital gains deductions you have already claimed in 2023 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2020 to 2023 minus the maximum capital gains exemption increase allowed for other gains from 2020 to 2023 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 138.

Note 31
You must also subtract from line 137 above, the amount from line 136 of Part 3l.
Note 32
If line 6 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2020, remove that part from the amount you enter here.

19
	Protected B when completed

Part 3n -

Calculating your capital gains deduction on qualified farm or fishing property and
qualified small business corporation shares

Complete this part if you are reporting a reserve in 2023 on dispositions of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) in 2021.

Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2021

147

Capital gains deductions from previous years
(line k of Chart 2 on the last page) (see note N below)

148

Capital gains deduction available for QFFP and/or QSBCS disposed of in 2021 included in your 2023 income (line 147 minus line 148; if negative, enter "0".) (see note 33 below)

149

Line 6 of Form T2017

Reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2021 per note 34

Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 34 below).

Line 11 of Form T2017

Reserve(s) from a disposition(s) of QSBCS in any year other than 2021 per note 35

Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 35 below).

Amount A plus amount B; Taxable capital gains from a reserve on QFFP and/or QSBCS disposed of in 2021 included in your 2023 income (if negative, enter "0").

x 1/2 =

150

Designations of taxable capital gains distributed by a trust from reporting a reserve from the disposition of QSBCS/QFFP in 2021 included in your 2023 income

151

Line 150 plus line 151

152

Enter the amount from line 149 or 152; whichever is less.

153

Enter the amount from the last line you completed of lines 38, 47, 55, 64, 72, 81, 89, 98, 106, 117, 127, 136, and 146.

154

Line 153 plus line 154. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.

155

If you are reporting a reserve in 2023 from a disposition of QFFP in 2021 , and each of line 14 from Part 1, line 31 from Part 2, and line 155 is greater than or equal to line 149, complete Part 3o.

If you are not reporting a reserve in 2023 income from the disposition of QFFP in 2021 and did not dispose of QFFP or QSBCS in 2023, the maximum amount you can enter on line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, and 155. You can, however, choose to claim less than the maximum.

Note N
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2021 to 2023. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 148 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2021 Form T657 plus the amount of all capital gains deductions you have already claimed in 2023 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2021 to 2023 minus the maximum capital gains exemption increase allowed for other gains from 2021 to 2023 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 148.

Note 33
You must also subtract from line 148 above, the amount from the last line you completed of line 38 of Part 3a, line 47 of Part 3b, line 55 of Part 3c, line 64 of Part 3d, line 72 of Part 3e, line 81 of Part 3f, line 89 of Part 3g, line 98 of Part 3h, line 106 of Part 3i, line 117 of Part 3j, line 127 of Part 3k, line 136 of Part 3l, and line 146 of Part 3m.
Note 34
If line 6 of your Form T2017 includes a reserve(s) from a disposition(s) of QFFP, QFP, or QXP before 2021, remove that part from the amount you enter here.
Note 35
If line 11 of your Form T2017 includes a reserve(s) from a disposition(s) of QSBCS before 2021, remove that part from the amount you enter here.

20
	Protected B when completed

Part 3o -

Calculating your capital gains deduction on qualified farm or fishing property

Complete this part only if you meet the following conditions:

you disposed of qualified farm or fishing property (QFFP) in 2021
each of lines 14, 31, and 155 are all greater than or equal to the amount on line 149 of Part 3n.

Note
For 2021, there is an additional $53,891 to the capital gains deduction limit that can only be used after your cumulative capital gains deduction of $446,109 has been used up. This additional amount does not apply to dispositions of qualified small business corporation shares (QSBCS).

Maximum capital gains deduction for QFFP disposed of in 2021

156

Capital gains deductions from previous years
(line k of Chart 2 on the last page) (see note O below)

157

Capital gains deduction available for QFFP disposed of in 2021 included in your 2023 income (line 156 minus line 157; if negative, enter "0")
(see note 36 below)

158

Line 6 of Form T2017

Reserve from a disposition of QFFP in any year other than 2021 per note 37

Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 37 below).

x 1/2 =

159

Designations of taxable capital gains distributed by a trust from reporting a reserve from the disposition of QFFP in 2021 included in your 2023 income

160

Line 159 plus line 160

161

Enter the amount from line 158 or 161, whichever is less.

162

Enter the amount from line 155 of Part 3n.

163

Line 162 plus 163.

164

Enter the amount from line 161 or 164, whichever is less. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.

165

If you did not dispose of QFFP or QSBCS in 2023, the maximum capital gains deduction you can claim at line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, or 165. You can, however, choose to claim less than the maximum.

Note O
You may have claimed a capital gains deduction for other eligible capital gains amounts from 2021 to 2023. If so, use the amount you calculate with the following instructions instead of the amount on line k of Chart 2 of this T657 form (line 157 of this page).

Calculate amount A:
The amount from line k of Chart 2 of your 2021 Form T657 plus the amount of all capital gains deductions you have already claimed in 2023 for this reserve.

Calculate amount B:
The amount of capital gains deductions you claimed for other gains (not the reserve) from 2020 to 2023 minus the maximum capital gains exemption increase allowed for other gains from 2021 to 2023 (if negative, use "0").

After you calculate amounts A and B, add them and enter the result on line 157.

Note 36
You must also subtract from line 156 above, the amount from line 155 of Part 3o.
Note 37
If line 6 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2021, remove that part from the amount you enter here.

21
	Protected B when completed

Part 3p -

Calculating your capital gains deduction on qualified farm or fishing property and
qualified small business corporation shares

Complete this part if you are reporting a reserve in 2023 on dispositions of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) in 2022.

Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2022

166

Capital gains deductions from previous years
(line k of Chart 2 on the last page)

167

Capital gains deduction available for QFFP and/or QSBCS disposed of in 2022 included in your 2023 income (line 166 minus line 167; if negative, enter "0".) (see note 38 below)

168

Line 6 of Form T2017

Reserve(s) from a disposition(s) of QFFP, QFP, or QXP in any year other than 2021 per note 39

Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 39 below).

Line 11 of Form T2017

Reserve(s) from a disposition(s) of QSBCS in any year other than 2021 per note 40

Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 40 below).

Amount A plus amount B; Taxable capital gains from a reserve on QFFP and/or QSBCS disposed of in 2022 included in your 2023 income (if negative, enter "0").

x 1/2 =

169

Designations of taxable capital gains distributed by a trust from reporting a reserve from the disposition of QSBCS/QFFP in 2022 included in your 2023 income

170

Line 169 plus line 170

171

Enter the amount from line 168 or 171; whichever is less.

172

Enter the amount from the last line you completed of lines 38, 47, 55, 64, 72, 81, 89, 98, 106, 117, 127, 136, 146, 155, and 165.

173

Line 172 plus line 173. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.

174

If you are reporting a reserve in 2023 from a disposition of QFFP in 2022 , and each of line 14 from Part 1, line 31 from Part 2, and line 174 is greater than or equal to line 168, complete Part 3q.

If you are not reporting a reserve in 2023 income from the disposition of QFFP in 2022 and did not dispose of QFFP or QSBCS in 2023, the maximum amount you can enter on line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, and 174. You can, however, choose to claim less than the maximum.

Note 38
You must also subtract from line 167 above, the amount from the last line you completed of line 38 of Part 3a, line 47 of Part 3b, line 55 of Part 3c, line 64 of Part 3d, line 72 of Part 3e, line 81 of Part 3f, line 89 of Part 3g, line 98 of Part 3h, line 106 of Part 3i, line 117 of Part 3j, line 127 of Part 3k, line 136 of Part 3l, line 146 of Part 3m, line 155 of Part 3n, and line 165 of Part 3o.
Note 39
If line 6 of your Form T2017 includes a reserve(s) from a disposition(s) of QFFP, QFP, or QXP before 2022, remove that part from the amount you enter here.
Note 40
If line 11 of your Form T2017 includes a reserve(s) from a disposition(s) of QSBCS before 2022, remove that part from the amount you enter here.

22
	Protected B when completed

Part 3q -

Calculating your capital gains deduction on qualified farm or fishing property

Complete this part only if you meet the following conditions:

you disposed of qualified farm or fishing property (QFFP) in 2022
each of lines 14, 31, and 174 are all greater than or equal to the amount on line 168 of Part 3p.

Note
For 2022, there is an additional $43,185 to the capital gains deduction limit that can only be used after your cumulative capital gains deduction of $456,815 has been used up. This additional amount does not apply to dispositions of qualified small business corporation shares (QSBCS).

Maximum capital gains deduction for QFFP disposed of in 2022

175

Capital gains deductions from previous years
(line k of Chart 2 on the last page)

176

Capital gains deduction available for QFFP disposed of in 2022 included in your 2023 income (line 175 minus line 176; if negative, enter "0")
(see note 41 below)

177

Line 6 of Form T2017

Reserve from a disposition of QFFP in any year other than 2022 per note 42

Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 42 below).

x 1/2 =

178

Designations of taxable capital gains distributed by a trust from reporting a reserve from the disposition of QFFP in 2022 included in your 2023 income

179

Line 178 plus line 179

180

Enter the amount from line 177 or 180, whichever is less.

181

Enter the amount from line 174 of Part 3p.

182

Line 181 plus 182.

183

Enter the amount from line 180 or 183, whichever is less. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.

184

If you did not dispose of QFFP or QSBCS in 2023, the maximum capital gains deduction you can claim at line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, or 184. You can, however, choose to claim less than the maximum.

Note 41
You must also subtract from line 175 above, the amount from line 174 of Part 3p.
Note 42
If line 6 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2022, remove that part from the amount you enter here.

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Part 3r -

Calculating your capital gains deduction on qualified farm or fishing property and
qualified small business corporation shares

Complete this part if you disposed of qualified farm or fishing property (QFFP) or qualified small business corporation shares (QSBCS) in 2023.

Maximum capital gains deduction for QFFP and/or QSBCS disposed of in 2023

185

Capital gains deductions from previous years
(line k of Chart 2 on the last page)

186

Capital gains deduction available for dispositions of QFFP and/or QSBCS
(line 185 minus line 186; if negative, enter "0".) (see note 43 below) .)

187

Taxable capital gains arising from dispositions in 2023 of QFFP and/or QSBCS included in your 2023 income:

Line 10700 of Schedule 3

Line 11000 of Schedule 3

Line 12400 of Schedule 3

Line 6 of Form T2017

Reserve(s) from a disposition(s) of QFFP, QFP, or QXP before 2023 per note 44

Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 44 below).

Line 11 of Form T2017

Reserve(s) from a disposition(s) of QSBCS before 2023 per note 45

Line 11 of Form T2017. If this amount is negative, enter in brackets. (see note 45 below).

Total (if negative, enter "0")

x 1/2 =

188

Enter the amount from line 187 or 188, whichever is less.

189

Enter the amount from the last line you completed of lines 38, 47, 55, 64, 72, 81, 89, 98, 106, 117, 127, 136, 146, 155, 165, 174, and 184.

190

Line 189 plus line 190. Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction

191

If you disposed of QFFP in 2023, and each of line 14 from Part 1, line 31 from Part 2, and line 191 is greater than or equal to line 187, complete Part 3s.

If you did not dispose of QFFP in 2023, the maximum amount you can enter on line 25400 of your 2023 return is the lesser amount of lines 14, 31, and 191. You can, however, choose to claim less than the maximum.

Note 43
You must also subtract from line 185 above, the amount from the last line you completed of line 38 of Part 3a, line 47 of Part 3b, line 55 of Part 3c, line 64 of Part 3d, line 72 of Part 3e, line 81 of Part 3f, line 89 of Part 3g, line 98 of Part 3h, line 106 of Part 3i, line 117 of Part 3j, line 127 of Part 3k, line 136 of Part 3l, line 146 of Part 3m, line 155 of Part 3n, line 165 of Part 3ol, ine 174 of Part 3p, and line 184 of Part 3q.
Note 44
If line 6 of your Form T2017 includes a reserve(s) from a disposition(s) of QFFP, QFP, or QXP before 2023, remove that part from the amount you enter here.
Note 45
If line 11 of your Form T2017 includes a reserve(s) from a disposition(s) of QSBCS before 2023, remove that part from the amount you enter here.

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	Protected B when completed

Part 3s -

Calculating your capital gains deduction on qualified farm or fishing property

Complete this part only if you meet the following conditions:

you disposed of qualified farm or fishing property (QFFP) in 2023
each of lines 14, 31, and 191 are all greater than or equal to the amount on line 187 of Part 3r.

Note
For 2023, there is an additional $14,405 to the capital gains deduction limit that can only be used after your cumulative capital gains deduction of $485,595 has been used up. This additional amount does not apply to dispositions of qualified small business corporation shares (QSBCS).

Maximum capital gains deduction for QFFP disposed of in 2023

192

Capital gains deductions from previous years
(line k of Chart 2 on the last page)

193

Capital gains deduction available for QFFP disposed of in 2023 included in your 2023 income (line 192 minus line 193; if negative, enter "0") (see note 46 below)

194

Taxable capital gains arising from dispositions in 2023, of QFFP included in your 2023 income:

Line 11000 of Schedule 3

Line 12400 of Schedule 3

Line 6 of Form T2017

Reserve from a disposition of QFFP in any year other than 2023 per note 47

Line 6 of Form T2017. If this amount is negative, enter in brackets. (see note 47 below).

Total (if negative, enter "0")

x 1/2 =

195

Enter the amount from line 194 or 195, whichever is less.

196

Enter the amount from line 191 of Part 3r.

197

Line 196 plus 197.
Total amount of capital gains included in your 2023 income that is eligible for the capital gains deduction.

198

The maximum capital gains deduction you can claim at line 25400 of your 2023 income tax and benefit return is the lesser amount of lines 14, 31, or 198. You can, however, choose to claim less than the maximum.

Note 46
You must also subtract from line 192 above, the amount from line 191 of Part 3r.
Note 47
If line 6 of your Form T2017 includes a reserve from a disposition of QFFP in any year other than 2023, remove that part from the amount you enter here.

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	Protected B when completed

Chart 1 - Calculating line 26 (net capital losses of other years)


Column A:
Enter the total amount of net capital losses from other years claimed for each year indicated (amount from line 253 of each return).

Column B:
For 1985, 1986, and 1987, enter 1/2 of total reserves included in capital gains for capital property disposed of before 1985 (1/2 of those reserves reported on your Schedule 3 for 1985, 1986, and 1987). For 1988 and 1989, enter 2/3 of total reserves included in capital gains for capital property disposed of before 1985 (2/3 of the amount entered on line 395 of Form T2017 for 1988 and 1989). For 1990 and 1991, enter 3/4 of total reserves included in capital gains for capital property disposed of before 1985 (3/4 of the amount entered on line 395 of Form T2017 for 1990 and 1991).

Column C:
For 1992, enter the amount from line 127 of your 1992 return or the amount from line (f) in Part A of Form T936 for 1992, whichever is less. For 1993, enter the amount from line 127 of your 1993 return or the amount from line (d) in Chart A of Form T936 for 1993, whichever is less. For 1994, enter the amount from line (p) in Chart B of Form T936 for 1994. For 1995, enter the amount from line (m) in Chart B of Form T936 for 1995. For 1996 to 1999, enter the total amount from line 17 in Chart A of Form T936 for 1996 to 1999. For 2000, enter the amount from line 24 in Chart A of Form T936 for 2000. For 2001, enter the total amount from line 17 in Chart A of Form T936 for 2001. For 2002 to 2017, enter the amount from line 10 in Chart A of Form T936 for 2002 toFor 2002 to 2017, enter the amount from line 10 in Chart A of Form T936 for 2002 to 2017. For 2018 to 2022, enter the amount from line 9 in Chart A of Form T936 for 2018 to 2022.

Column D:
For 1992, enter the amount from line (k) in Part B of Form T936 for 1992. For 1993, enter the amount from line (k) in Chart B of Form T936 for 1993.

Year(s)	A	B	C	D	E (C - D) If negative, enter "0"	F (B + E)	G (A - F) If negative, enter "0"
1985 to 1987			N/A	N/A	N/A
1988 and 1989			N/A	N/A	N/A
1990 and 1991			N/A	N/A	N/A
1992		N/A
1993		N/A
1994		N/A		N/A
1995		N/A		N/A
1996 to 1999		N/A		N/A
2000		N/A		N/A
2001 to 2022		N/A		N/A

Add the amounts in column G and enter the result on line 26 in Part 2 of this form. Due to space restrictions, some years have been combined on a single row on this chart. However, to ensure a correct result, do the calculations separately for each year that applies to you.

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	Protected B when completed

Chart 2 -

Calculating lines 33, 40, 49, 57, 66, 74, 83, 91, 100, 108, 119, 129, 138, 148, 157, 167, 176, 186 and 193
(capital gains deductions from previous years)


Total capital gains deductions claimed after 1984 and before 1988 (line 254 of your 1985 to 1987 returns)		a
Capital gains deductions claimed in 1988 and 1989 excluding eligible capital property (line 254 of your 1988 and 1989 returns, minus any amounts reported on lines 543 and 544 on Schedule 3 for 1988 and 1989; if negative, enter "0")	+	b
Adjustment of 1988 and 1989 capital gains deductions excluding eligible capital property (enter 1/4 of amount on line b)	-	c
Capital gains deductions claimed in 1988 and 1989 for eligible capital property (total of lines 254 of your 1988 and 1989 returns, minus the amount on line b above; not to exceed the total of lines 543 and 544 on Schedule 3 for 1988 and 1989)	+	d
Adjustment of 1988 and 1989 capital gains deductions for eligible capital property (enter 1/3 of amount on line d)	-	e
Total capital gains deductions claimed in 1990 to 1999 (line 254 of your returns for these years)	+	f
Adjustment of 1990 to 1999 capital gains deductions (enter 1/3 of amount on line f)	-	g
Total capital gains deduction claimed in 2000 (line 254 of your 2000 return)	+	h
IR
Adjustment of 2000 capital gains deduction. Amount from line h x [1 - (1 ÷ (2 x IR))] (see note)	-	i
Total capital gains deduction claimed in 2001 to 2022 (line 254 of your 2001 to 2018 tax returns and line 25400 of your 2019 and later tax returns)	+	j
Total of lines a to j	=	k

Note
IR represents your inclusion rate for 2000. This rate is from line 16 in Part 4 of Schedule 3 for 2000, or from your notice of assessment or latest notice of reassessment for 2000.