[Verse 1]
When your business takes a hit and profits disappear
Non-capital losses help you dry those tears
Twenty years forward, three years back you go
Moving through the timeline, let the tax relief flow
Corporation's struggling with expenses way too high
Don't let those losses vanish, here's the reason why
[Chorus]
Forward twenty, backward three
Non-capital losses set you free
Capital losses need their kind
Against capital gains they're designed
ABILs get special treatment too
Half against any income's due
Remember these rules, don't let them slip
Loss utilization's quite a trip
[Verse 2]
Capital losses have a different game to play
Only against capital gains can they make their way
But ABILs break the mold, they're special indeed
Half the loss against any income meets your need
Business investment losses when they qualify
Give you flexibility to reach up high
[Chorus]
Forward twenty, backward three
Non-capital losses set you free
Capital losses need their kind
Against capital gains they're designed
ABILs get special treatment too
Half against any income's due
Remember these rules, don't let them slip
Loss utilization's quite a trip
[Bridge]
But wait, there's danger in the air
When control changes hands, beware
Section one-eleven-five will say
Some losses might just fade away
Similar business test must pass
Or streaming rules will hold you fast
[Verse 3]
Acquisition of control brings restriction to the table
Unused losses face a test, if the business stays stable
Carry on the same trade or you'll lose what you had
Loss streaming rules prevent the schemes that make auditors mad
Two year window, similar business, that's the key
Or those precious losses disappear, gone and free
[Final Chorus]
Forward twenty, backward three
Non-capital losses set you free
Capital losses need their kind
Against capital gains they're designed
Control changes bring the test
Similar business works the best
Use these rules and use them right
Loss utilization shining bright
[Outro]
Twenty forward, three years back
Keep your losses on the track
When control changes in your way
Make sure similar business stays