No, dividends, while taxed similarly now, are not capital gains. Capital losses only offset capital gains, EXCEPT - up to 3K a year of unused capital losses may be applied against ordinary income...which because of the rate differential, is really a nice advantage.
A capital gain and a dividend are two different things completely. You can offset a Capital Gain with Capital Losses, but you cannot offset dividends with capital losses. They are different items and are reported on different forms.
ANSWER No capital loss can only be used to reduce any capital gain, and even in then there are rules. You can not use capital gain to offset against ordinary income. NB: Personal use capital loss can not be offset against any capital gain, losses on collectibles can only be offset against other collectibles capital gain and all "other" capital loss e.g. dividends, shares, real estate can be offset against "other" capital gain.
can long term gains be offset by short term losses
No you cannot apply for non-capital losses against dividend income. Capital losses only offset capital gains up to 3K a year capital losses may be used against ordinary income.
1)capital contributions, 2)ernings/losses, 3)payment of dividends
A capital gain and a dividend are two different things completely. You can offset a Capital Gain with Capital Losses, but you cannot offset dividends with capital losses. They are different items and are reported on different forms.
It would make sense for people seeking capital gains to offset previous year losses.
ANSWER No capital loss can only be used to reduce any capital gain, and even in then there are rules. You can not use capital gain to offset against ordinary income. NB: Personal use capital loss can not be offset against any capital gain, losses on collectibles can only be offset against other collectibles capital gain and all "other" capital loss e.g. dividends, shares, real estate can be offset against "other" capital gain.
Yes
can long term gains be offset by short term losses
No you cannot apply for non-capital losses against dividend income. Capital losses only offset capital gains up to 3K a year capital losses may be used against ordinary income.
1)capital contributions, 2)ernings/losses, 3)payment of dividends
Not against earnings (from your income tax), but you can offset losses against future capital gains and thereby reduce your capital gains tax (UK tax law).
Short offset shorts first, then they offset longs. Your better to have them offset short, as short is taxed at ordinary rate and long at special lower rate. A stock sale is a capital gain/loss transaction.
Yes. All companies who pay dividends usually do so out of Retained Capital. Even Real Estate companies (REITS, private partnershiplps, etc) with losses "on the books" because of depreciation or other allowed tax deferrals/credits can pay dividends, and most do. Sometimes you see venture Capital companies take control of a company and pay a special dividend out of "capital."
Most dividends are. However, long term capital gains distributions from a mutual fund are capital gains. Liquidating dividends and return-of-capital dividends can be capital gains. And, to make matters more confusing, some dividends, knows as "qualifying dividends," are taxed at long term capital gains rates even though they are not capital gains.
A CDN corporation can not apply non capital losses against dividend income it can only be used to reduce capital gain. There are rules and regulations that go along with this as well. You can not use capital gain to offset normal income.