If you want to apply a current year loss to a previous tax year, follow these steps in Wealthsimple Tax:

1. Add the Request For Loss Carryback section to your profile
2. Determine your eligible losses:
   • Review your current tax return for net and non-capital losses
   • Understand which types of losses can be carried back
3. Calculate maximum carry-back amounts:
   • Review your prior year's tax returns
   • Determine the maximum amount you can carry back to each eligible year
4. Complete the Request For Loss Carryback section:
   • Enter the loss amounts you wish to carry back
   • Specify which prior years you want to apply the losses to

Important notes:

• Adding amounts to this section won't change your current year's refund or balance owing
• The CRA will automatically reassess your prior year's returns when they process your current return
• You may receive a refund for the prior year(s) if the loss carryback reduces your previous tax liability

Types of losses that can be carried back:

• Net capital losses: Can be carried back up to 3 years
• Non-capital losses: Can be carried back up to 3 years
• Farming and fishing losses: Can be carried back up to 3 years

Remember:

• Keep records of all calculations and prior year tax returns
• Carrying losses back may affect other credits or deductions in the prior years

If you need assistance entering loss carryback information in Wealthsimple Tax, please contact Wealthsimple support. For complex situations or to determine the best strategy for using your losses, consider consulting with a tax expert.