Reporting Cdn Dividends from T5 - Box 10 or 11?

marge · Post by **marge** » Tue Jun 06, 2006 4:04 pm

Hi, This is a small question, but I'd really like to report dividends correctly. Box 10 on the T5 is identified as, "Actual Amount of Dividends." Is that the amount I report? Or is it the amount from Box 11, which is the "Taxable Amount of Dividends?" I've gotten different answers from different IRS representatives.

Thanks very much,
Marge

nelsona · Post by **nelsona** » Tue Jun 06, 2006 4:58 pm

To the IRS you would report the Box 10 amount as this is the actual income you recieved.

Box 11 is the "Gross-up" used by CRA to correctly come up witjh the dividend tax credit (you will note that box 11 is exactly 125% of box 10). It is a fictitious number, so really has no meaning to IRS.

Q: why on earth would you contact IRS AT LEAST TWICE about how to report something that they have (obviously) absolutely no idea about handling?

You really have to much respect for IRS flunkies!

marge · Post by **marge** » Wed Jun 07, 2006 9:21 am

Thanks for the clarification. It makes sense to me now.

About contacting the IRS--I attend the Tax Seminars held at the US Consulate every year, as a painless way to learn what's new, and the question has come up a couple of times. (Interesting to note that the IRS representatives looked blank, proving your claim that they don't know much.) However, the seminars have been very helpful. For example, I learned about Form 8891 when it was first required.

Thanks again,
Regards,
Marge

nelsona · Post by **nelsona** » Wed Jun 07, 2006 9:23 am

However, the seminars have been very helpful. For example, I learned about Form 8891 when it was first required.

I guarantee that I knew about the form even before your flukie did, and reported it here and on grasmick and twincities.

marge · Post by **marge** » Wed Jun 07, 2006 9:50 am

Undoubtedly true.

About the other sites you mentioned, grasmick isn't still in operation, is it? I thought this site replaced it. I just re-checked it, and the string dates I saw were from 2004. And could you tell me the address of twincities please?

Regards,
Marge

nelsona · Post by **nelsona** » Wed Jun 07, 2006 9:56 am

Grasmick was up in 2004 when the 8891 was created, and still has very useful information, as this morning other new post highlighted.

canadatotwincities.com