Friday, 26 July 2013

CRA Wants to Know More About Your Foreign Assets

Effective July 2013 the form T1135 has been modified significantly.  It now requires a lot more detail on each category of foreign held asset.  T1135 is a form that has to be filed by the following entities if they have assets outside Canada with a total cost of $100,000 excluding personal use assets.
  • Individuals
  • Corporations
  • Trusts
  • and Partnerships.
The new changes include the provision of details of each categories of asset. As an example you have to list all the non-resident corporations that you have shares in other than foreign affiliates. Please note this includes shares of corporations you may hold in your Canadian brokerage account. You should also provide income received from EACH of those corporations or if sold gain or losses should also be reported. Another onerous task is that if you are trading in the shares of corporations you have to enter to the maximum cost amount of each share during the fiscal year.  Please refer to the link below and read the guide carefully.

http://www.cra-arc.gc.ca/E/pbg/tf/t1135/t1135-fill-13e.pdf

You may wish to make arrangements so that you can have this information ready by your due filing date and please file on time as there is a daily penalty for filing late.


To see my newsleters go to www.tavana.ca

This blog is for general information only and cannot replace professional advice.
The reader is invited to contact the writer to discuss the contents of the newsletter.
Readers are advised to seek professional advice before acting on the material
in this newsletter

2 comments:

  1. Great Blog
    I have a question if you start a foreign business and incur losses (expenses) in the first year as is the case with almost every business can you deduct these on your personal tax?

    ReplyDelete
  2. Great site

    I have a question

    If i pay business expenses personally for my company because the business cannot afford it can i T2200 these as i treat myself as a salaried T-4 employee? I do own the company 100% but i am also an employee...
    Marik

    ReplyDelete