I ran into an issue and spent an hour with CRA on the phone and they essentially confirmed their capital gains calculations on the back end are not working correctly. They told me to file a T1-Adj for this issue.
My client sold QSBC shares in 2024 and we used the lifetime capital gains exemption to offset the gain. When his return was assessed, the exemption was not allowed even though his available balance was being pulled from his My CRA info. I spoke with the Capital Gains group at CRA and the agent kept going back to his “Resource Manager” and finally concluded that the filing was correct but their system did not allow it. He said it was likely due to the capital gains changes. Has anyone else seen these types of issues before? This is a large amount of tax, how is the CRA system/info not working correctly whereby now I need to file a manual T1-Adj and send it in?