How do I declare foreign property in TurboTax?

by TurboTax• Updated 2 days ago

If you owned or held foreign property during the year with a total cost of over $100,000 CAD, you need to complete Form T1135. TurboTax can link with the CRA’s Netfile service to file a T1135 form electronically.

Foreign property can include, but isn’t limited to:

A life insurance policy from a foreign issuer
Interest in any offshore mutual funds
Any real estate outside Canada
Money in a foreign bank account
Shares of a foreign company

You don’t need to declare:

Any investments you hold inside your Registered Retirement Savings Plan (RRSP) and Tax-Free Savings Account (TFSA)
Property that’s primarily for personal use, such as a car, cottage, paintings, or jewelry
Property used to run a business, such as a building, equipment, or inventory

Note: All amounts must be reported in Canadian dollars.

Complete Form T1135 in TurboTax Online

Before starting, fill out your personal information and tax profile in TurboTax to ensure optimal results. In your tax profile, select Yes to the question Did you own or hold specified foreign property where the total cost amount of all such property, at any time in 20XX, was more than $100,000 CAD?

Select Find and enter foreign income in the search bar.
Select Foreign Income Verification Statement (T1135), then Continue.
Follow the instructions on the Foreign Income Verification Statement (T1135) screens to enter your information.

Complete Form T1135 in TurboTax Desktop

Select Find and enter income verification in the search bar.
Select Foreign Income Verification Statement (T1135), then Go.
Follow the instructions on the Foreign Income Verification Statement (T1135) screens to enter your information.