As a Canadian resident, the CRA requires you to file a information form T1135. If you hold or have held a specified foreign property with a cost of more than $100,000 at any time during the tax year. Completing this form does not generate additional Canadian tax liability but failure to file the form in time could result in a significant penalty. The penalty is $25 for each day that the form is filed late.
The deadline is the same deadline as your Personal Income Tax Return although the form is mailed to a separate CRA office. Not all of your foreign properties qualify as specified foreign property. Some of the popular specified foreign properties are:
- Foreign (non Canadian bank account) bank account
- Trading account opened outside Canada
- Vacation house/cottage outside Canada
Please see a qualified tax advisor to determine whether you have to file this form.
The information provided on this page is intended to provide general information. The information does not take into account your personal situation and is not intended to be used without consultation from accounting and financial professionals. Allan Madan and Madan Chartered Accountant will not be held liable for any problems that arise from the usage of the information provided on this page.