Form T657 is used by Canadian residents to calculate the capital gains deduction for the sale of qualified farm or fishing properties and shares in small business corporations. This form assists individuals in determining the portion of their capital gains that may be exempt from taxation, ensuring accurate tax reporting.

Canadian residents who have disposed of qualified farm or fishing properties or shares in qualified small business corporations.

You can claim the deduction if you sold qualified farm or fishing properties or shares in small business corporations.

Eligibility requires being a Canadian resident who lived in Canada for part of the applicable tax year.

It is determined by the lowest of several limits, including your capital gains limit and cumulative capital gains limit.