We were given a valuable piece of land abroad by family. Nothing has been done with it and there is no income. Does this land have to be declared or only if we sell it?

[TurboTaxKim · Accepted solution]

The following TurboTax information will provide you with a more definite answer as to whether you need to declare this property or not. 

https://turbotax.intuit.ca/tips/declaring-inherited-overseas-property-6225

[crockeb]

Thanks -- any advice you can offer on the question of total cost? There are no costs to us at the moment. Do we put in estimated value of the land in the maximum cost question?

[TurboTaxKim]

This information - "the cost of property acquired by gift, inheritance or bequest is its fair
market value at the time received. Appraisals or valuations may be necessary to establish
the value", was found in this link: http://www.mkwtaxlaw.com/files/news/file_link_1400005600_The_Lawyers_Weekly_Kepes_April_25.pdf

[TurboTaxKim]

Specified foreign property that must be declared on your Canadian tax return includes "any real estate you own held outside Canada" and you should be completing Form T1135 when you file your tax return.

https://turbotax.intuit.ca/tips/declaring-foreign-property-on-your-tax-return-6217

[crockeb]

So this cannot be regarded as personal use property?Not sure what is Maximum cost? It was a gift and no property tax as such. Do we put the value of the land in there? Lastly As it was a gift, if we sell do we pay capital gains on 50% of the full amount?