sharla-rogoski
New Member

I got T5 for my husband & I on an account joint with our 4yr old - the money is actually all hers.DO I HAVE TO CLAIM THE INTEREST?

I received a few T5s in my name and my husband (with my SIN on them), for accounts that are joint with each of our children (4, 3 & 3 years old). The money in each account actually is ALL theirs respectively, we only have our names on them due to their age and wanting to ensure we can easily move money into the accounts for them (we split and transfer the CCB to these accounts to save for them). There is no mention of any of them on the associated T5s (which the CRA receives) and I don't want to claim the interest on our tax returns if I don't have to as it really adds up. Do I have to claim it or can I leave it alone, since it really is my children's income and they would not pay any tax at all? 

‎October 31, 2019 12:39 AM
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TurboTaxKim
Level 15

After you file

In accordance with the attribution rules, if your child is under 18, the income is "attributed" back to you and claimed on your tax return. However, the attribution rules do not apply if the money that is being deposited in these accounts comes strictly from the CCB (or UCCB, Family Allowance, etc). 

DEFINITION of 'Attribution Rules'
A set of rules created by CRA that prevents investors from transferring assets between family members with the intention of avoiding taxes.
‎October 31, 2019 12:39 AM
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