This one of the questions I get asked the most during tax season: Do I need to report my Foreing Properties?
There is no "easy" way to say it, it's complicated. Yes, you need to report your "specified foreign property" if the total value at any time of the yaer sums more than CAD 100,000
The T1135 form, "Foreign Income Verification Statement", is a tax reporting requirement in Canada for individuals, corporations, and certain trusts who own specified foreign property. It is filed with the Canada Revenue Agency (CRA) to ensure proper reporting of foreign assets and income.
Who Needs to File the T1135?
You must file the T1135 if:
The following types of foreign assets are considered specified foreign property:
Here is a link with more questions and answers from the CRA website: https://www.canada.ca/en/revenue-agency/services/tax/international-non-residents/information-been-moved/foreign-reporting/questions-answers-about-form-t1135.html
Contact us today if you need to file your T1135, or you are not sure yet!☕
There is no "easy" way to say it, it's complicated. Yes, you need to report your "specified foreign property" if the total value at any time of the yaer sums more than CAD 100,000
The T1135 form, "Foreign Income Verification Statement", is a tax reporting requirement in Canada for individuals, corporations, and certain trusts who own specified foreign property. It is filed with the Canada Revenue Agency (CRA) to ensure proper reporting of foreign assets and income.
Who Needs to File the T1135?
You must file the T1135 if:
- You are a Canadian resident (individual, corporation, or trust).
- At any time during the tax year, the total cost of your specified foreign property exceeded CAD $100,000.
- This threshold is based on the original purchase cost of the foreign property, not its current market value.
The following types of foreign assets are considered specified foreign property:
- Funds or bank accounts held outside Canada.
- Shares of non-Canadian corporations (even if held in Canadian brokerage accounts).
- Debt securities like bonds or debentures issued by non-Canadian entities.
- Real estate outside Canada (e.g., rental property, but not personal-use property such as a vacation home).
- Interest in partnerships that own foreign property.
- Trusts or other foreign investments where you hold an interest.
- Other property (e.g., intangible property) located outside Canada.
- Personal-use property (e.g., vacation homes or vehicles).
- Foreign investments held in registered accounts (e.g., RRSPs, TFSAs).
Here is a link with more questions and answers from the CRA website: https://www.canada.ca/en/revenue-agency/services/tax/international-non-residents/information-been-moved/foreign-reporting/questions-answers-about-form-t1135.html
Contact us today if you need to file your T1135, or you are not sure yet!☕
