T1135

This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

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brianbbc
Posts: 67
Joined: Fri Apr 25, 2014 9:17 pm

T1135

Post by brianbbc »

I sold my home in the usa 2 days prior to entering Canada in 2020, that is sold July 25, entered Canada and resumed tax residency July 27. Had previously severed tax ties with the cra years ago. Value of home was over 100k. Do I still need to report t1135?
nelsona
Posts: 16947
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: T1135

Post by nelsona »

Yes, strangely, in the year of your arrival you need to account for foreign items from before your arrival even if they were no longer yours on the day you arrived.
However, personal use property such as a home need not be listed, so you don't include that in determining your threshold for reporting
I am taking my usual break from this site until May. Always too many tax-form specific questions at this time of year...
nelsona non grata. Non pro. Search previous posts. Happy Browsing :D
Numbersman61
Posts: 7
Joined: Wed Sep 09, 2020 1:02 pm

Re: T1135

Post by Numbersman61 »

I believe the issue is whether the funds which were received on the sale which closed two days prior to returning to Canada were foreign property. If the funds were in a US bank or a US bank draft, I believe they are foreign property at the time of entry to Canada and should be reported on form 1135. If funds were wired to a Canadian bank account prior to entry, no reporting required.
nelsona
Posts: 16947
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: T1135

Post by nelsona »

Of course, correct.
And as I said, even if they were in canafda at time of arrival, if they wer in a US bank, they still need to be reported. Even in a returning year, the entire year is considered,
I am taking my usual break from this site until May. Always too many tax-form specific questions at this time of year...
nelsona non grata. Non pro. Search previous posts. Happy Browsing :D
brianbbc
Posts: 67
Joined: Fri Apr 25, 2014 9:17 pm

Re: T1135

Post by brianbbc »

I'm wondering about reporting for amounts over $250k. For part B 1. , It looks straightforward: enter bank, max funds, end year balance and gross income. For part B 2, is that where you'd enter mutual funds/ETFs held in, for example vanguard USA? Also is it necessary to list each individual fund or stock or aggregate them as a total for all holdings in that brokerage company (whick would be easier). The cra has made this form without any clear guidance on their website.
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