Plain meaning
A denied capital loss that can arise when property is sold at a loss and the same or identical property is reacquired within the rule period.
Also called
superficial losses
Key points
- Superficial Loss affects how individuals report income, claim relief, receive benefits, or plan savings and retirement decisions.
- Eligibility and amounts often depend on annual tax filing, family status, age, income, residence, or documented expenses.
- The concept can affect both tax payable and income-tested benefits, so the after-tax result may differ from the headline amount.
- Readers should treat the glossary entry as orientation; the actual result depends on the current rules and personal facts.
Why it comes up
The rule affects investment-loss planning and taxable investment account reporting. It can affect tax payable, benefit eligibility, after-tax income, or the timing of CRA-administered payments.