CalculatorsCapital Gain
Built-In Calculation

Capital Gain Calculator

Work out the capital gain or loss on a completed or proposed disposition, for an individual, corporation or trust, then turn the result into a client-ready letter, not just a number on screen.

The calculation is only half the work. CodaraFlow finishes the explanation, the tables, and the client-ready letter.

What the Firm Gets Back

The Hours Are Around the Calculation

The calculation is quick. The cost is the time around it: the circumstance the spreadsheet does not handle, the item a reviewer sends back, and the letter written afterwards. Those hours are the firm’s own to recover; the client’s timeline is unchanged.

Fewer Files Sent Back at Review

Minimum tax is computed alongside the regular tax, and the other income already entered shapes the brackets, so neither surfaces for the first time at review. Finding one there means a send-back, a change, and a second review.

A Co-Owned Property Is Not Two Calculations

A co-owned property splits between owners before any relief, so each person’s deduction, losses and minimum tax are worked on their own share without a parallel calculation to reconcile.

A Reserve Across Years Without a Second Schedule

Where proceeds arrive over time the reserve runs the full term and shows what spreading the gain costs against taking it now, so the client’s question is answered inside the same file.

The Reviewer Reads the Working Instead of Rebuilding It

How This Was Calculated opens beside the result, so a second pass checks the path rather than reverse-engineering the answer before signing off.

What It Calculates

The Gain, the Relief, and the Tax

This is one of the built-in calculations in CodaraFlow. Enter the property, the proceeds and the cost, and it computes the gain or loss, applies the available relief and deferrals, and estimates the resulting tax.

  • Gain or Loss on the DispositionProceeds less cost and the outlays of disposing of that property, on a completed sale or one the client is considering. Each property carries its own outlays, so a commission on one never reduces the gain on another.
  • Any Owner, Any PropertyIndividuals, corporations and trusts; real property, shares and other capital property, including depreciable property where applicable.
  • Spouses and PartnersSplit a co-owned property between owners and set each share. The gain divides before any relief, so each owner claims against their own deduction, their own net capital losses and their own minimum tax exemption.
  • Every Relief That AppliesThe principal residence exemption, the capital gains deduction claimed on Form T657, net capital losses of other years, capital gains reserves and replacement-property deferral, applied where the file qualifies. The provision behind each is under The Basis below.
  • Depreciable-Property EffectsRecapture of CCA calculated where applicable, and a terminal loss reported against the property, deducted once you confirm no property of that class remains at year end.
  • The Estimated TaxAn estimated tax figure including alternative minimum tax for an individual, and for a corporation the capital dividend account addition.
Why It Lives in the Letter

From the Calculation to a Client-Ready Letter

The number is not the deliverable. In CodaraFlow the result drops straight into a letter section: the firm’s approved wording, the computation tables, and the statutory notes that actually apply to this client, written in for you. Exported as an editable Word document on your letterhead.

The Firm’s Wording, Every Time

The same reviewed explanation, not whatever the preparer types today.

Only the Notes That Apply

The relief, recapture, and tax-estimate notes appear only when the file triggers them.

Tables Built for You

The disposition computation is laid out and footed automatically.

Editable Word Output

Finish it in Word, on your firm’s letterhead. No proprietary format.

The Basis

Grounded in the Provisions You Cite

Each part of the calculation ties to the section a reviewer would expect. The wording is firm-editable; the sections are fixed by the Act.

Taxable Capital Gains. 38

The taxable portion of a capital gain is the gain multiplied by the inclusion rate.

Capital Gains Deductions. 110.6

Shelters a qualifying gain by the deduction the individual claims on Form T657, capped at what the gain supports.

Net Capital Loss of Another Years. 111(1)(b)

Deducted from the taxable gain before the capital gains deduction, at the amount claimed.

Capital Gains Reserves. 40(1)(a)(iii) / s. 40(1.1)

Where part of the price is not due until after the year, the gain is reported as the money arrives, with at least a fifth (a tenth on the ten-year term) brought into income each year. The reserve reduces the gain the year of sale recognizes.

Alternative Minimum Taxss. 127.5 to 127.55

An individual's sheltered gain can still attract minimum tax, recoverable against regular tax over the following seven years.

Principal Residence Exemptions. 40(2)(b)

May shelter all or part of the gain for years designated as the taxpayer’s principal residence.

Recapture of CCA and Terminal Losss. 13(1) / s. 20(16)

On depreciable property, capital cost allowance previously claimed may be recaptured as income (s. 13(1)), or a shortfall below the undepreciated capital cost may be a terminal loss (s. 20(16)).

Personal-Use Loss Denieds. 40(2)(g)(iii)

A loss on personal-use property is denied.

Capital Dividend Accounts. 89(1)

For a corporation, the non-taxable portion of the gain adds to the capital dividend account and may generally be distributed tax-free by capital dividend election.

Replacement Propertys. 44

Where qualifying replacement property is acquired within the time limits, the gain may be deferred.

What This Estimate Covers

The estimated tax includes alternative minimum tax for an individual and reflects the other income and deductions entered for each owner. Where the firm’s rates are set as graduated brackets it applies the basic personal amount and any provincial surtax; where they are set as a top marginal rate it applies that rate throughout. It remains an estimate: it carries no personal credits beyond the basic personal amount, and excludes the OAS clawback.

Every calculator produces a planning estimate for a qualified practitioner to review. Renshi CodaraFlow does not give tax advice.

Run the Capital Gain calculation on your own file.Get a Demo Login
Access Within 24 Hours

Get a working demo account, run this calculation on a real file, and export the letter it produces.

Your Client Data Never Touches AI

Everything is computed from the figures you enter and assembled from your firm’s approved wording. The app never connects to AI.

You Own the Output

Editable Word documents on your firm’s letterhead. Monthly pricing, no long-term contracts.

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A working demo account, usually within 24 hours.

No card, no obligation. A person reads every request.
Access lasts 24 hours, extended on request.

No AI Access to Client DataFully Editable Word OutputMonthly Pricing. No Long-Term Contracts.

Questions About This Calculation

Is this a standalone calculator?

No. It’s one of the built-in calculations inside CodaraFlow. The result becomes a client-ready letter section, complete with the computation table and the notes that apply, not just a figure you copy into a client letter.

Completed sale or a proposed one?

Both. Run it on a disposition that has happened, or model one the client is considering.

Can we change the wording and which notes appear?

Yes. Every sentence and every note is firm-editable, and can be overridden on an individual letter.

Does any client data go to an AI?

No. The app never connects to AI. Deliverables are assembled from structured facts and your firm’s approved wording.

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