Dividends / Income in Canada from Joint US accounts

[jaaron]

American citizen / Canadian resident:

I have several joint accounts in the US with my father, which are generating tax events / income (interest, dividends, capital gains / losses). My father has no ties with Canada.
I am the primary account holder, and so these tax events are reported onto my American 1040.

Regarding these accounts, the instruction on T1135 suggest that the ownership of joint property is determined on the basis of contribution. My contribution to these accounts is 0 and I do not manage them. Therefore, I have not counted them as part of my property for the purposes of T1135

However, I am not certain what to do when it comes to reporting interest and dividends on my Canadian taxes. Would the interest and dividends be considered part of my world income for Canadian purposes? Would it be only part of them (eg 50% as joint ownership)? Or, on the basis of my non-contribution, would they not be considered part of my income?

FWIW This is my first time filing in Canada.

[jaaron]

I just noticed from the tax prep guide: "Generally, you report your share of interest from a joint investment based on how much you contributed to it."

By this logic - I would not need to be reporting the interest and dividends on my Canadian taxes.

One potential problem I am concerned about: Will it cause issues to have interest / income listed on US tax returns but not Canadian (In terms of information sharing between the two agencies?) Will it appear fraudulent or possibly trigger an audit down the line? And if so, how should I be managing or preparing for that?

Thanks!

[nelsona]

Your interpretation of how it is reported in Canada is correct.

As to the difference between the 2 returns, I wouldn't worry.

Are you sure you are the one that needs to report ALL this income in US?