Quicken Community is moving to Single Sign On! Starting 1/22/21, you'll sign in to the community with your Quicken ID. For more information: http://bit.ly/CommunitySSO

Capital Gains distributions

Can't seem to find anything on how to enter the capital gains portion of a mutual fund distribution in Canada. Short, Mid and Long term classes are a US thing I believe - how do I enter properly in Canada?
Using Quicken since sometime before the beta test of Quicken 6 for Windows in 1996... B)
Tagged:

Best Answer

Answers

  • Tom Young
    Tom Young SuperUser ✭✭✭✭✭
    I've never looked at how Canada taxes capital gains but a brief fly-buy seems to indicate that in Canada you're taxed at "regular tax rates" on half the capital gain.  There doesn't seem to be a distinction by the term of the holding.
    The Quicken Canadian version doesn't have that treatment somehow "built in" to the product?  Are you really seeing that "Short", "Mid" and "Long" term when you try to make an entry?
  • Microfiche
    Microfiche Member ✭✭
    Yes - I am not sure what Quicken does with those short/medium/long terms, or what it effects are, but that is my only option.
    Using Quicken since sometime before the beta test of Quicken 6 for Windows in 1996... B)
  • Microfiche
    Microfiche Member ✭✭
    Can't seem to edit for some reason so...
    ...and the taxation is as you describe. Not so worried about that part, more to how these US options affect book value. I guess if they don't then it doesn't matter, and I can use any of them. But it seems silly to have them in the Canadian version.
    Using Quicken since sometime before the beta test of Quicken 6 for Windows in 1996... B)
  • Microfiche
    Microfiche Member ✭✭
    I just took a screen grab of the first thing that came to mind - in reality, what I am dealing with is reinvested distributions. With some of my mutual funds, a capital gains percentage may be announced at the end of the year - i.e. if I received $1000 in reinvested distributions over 2019, the fund advises (at year end) that 20% was capital gains, 30% was eligible dividends, and 50% was interest (for example). In order to clarify my year end reporting, I go back to those distributions and prorate the income by type. So I am trying to determine how to enter a capital gains portion. I hope that makes sense?
    Unfortunately, I think that Canada is a small portion of their customer base, so sometimes we get left out.
    I will see what happens when I try various terms.
    Using Quicken since sometime before the beta test of Quicken 6 for Windows in 1996... B)
  • Microfiche
    Microfiche Member ✭✭
    My mistake - I guess I assumed a reinvested capital gains distribution might have a different effect on ACB than say a dividend distribution. I hadn't thought it all the way through and had return of capital distributions in my mind, where the ROC reduces the ACB. Also had no idea if the US classes of capital gains did anything funky to ACB - but it appears they do not. I assume it is only for US tax reporting and calculations. Thanks for your patience!
    Using Quicken since sometime before the beta test of Quicken 6 for Windows in 1996... B)
This discussion has been closed.