Do I always need to file a T1135?

File a T1135 only if the total cost of specified foreign property exceeded CAD 100,000 at any time during the year. If below the threshold, a T1135 is generally not required but document checks are recommended.

How is cost translated to Canadian dollars?

Use a consistent, documented exchange rate for each transaction or reporting date and record the source and date of the rate used; include conversion worksheets in supporting schedules for audit clarity.

Can I use electronic signatures for engagement letters and supporting declarations?

Electronic signatures are commonly accepted for engagement and declaration documents; ensure the e-signature solution provides an audit trail and meets applicable privacy and authentication expectations for your jurisdiction.

What if I discover an error after filing?

Prepare and file an amended return or provide corrected information to the tax authority as required; document the correction and retain communications and revised schedules for the retention period.

What supporting documents should I retain?

Keep broker statements, purchase and sale agreements, trust documents, and currency conversion worksheets for at least the statutory retention period to substantiate cost amounts and ownership.

Who may sign the T1135 or related declarations?

The taxpayer or an authorized agent may sign supporting declarations; when using a representative, maintain a signed authorization or power of attorney and verification of the agent's authority.

Tax T1135 Form

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

T1135 - Foreign Income Verification Statement

Taxpayer Identification

Taxpayer Name: Business Name / Carrying on Business As (if applicable): Address:

Tax Year Ending:

Entity Type

Select entity type (check all that apply): Individual / Sole Proprietor C Corp S Corp Partnership Trust / Estate LLC Other

If Other, describe:

Tax Identification

Provide the appropriate tax identification number(s). Enter either Social Security Number or Employer Identification Number as applicable.

Social Security Number (if applicable): Employer Identification Number (if applicable):

Part A — Simplified Reporting Eligibility

Check this box if the total cost amount of specified foreign property you owned at any time during the year did not exceed 100,000 and you are filing under the simplified reporting provisions. I qualify for simplified reporting under Part A

Part B — Detailed Reporting of Specified Foreign Property

If you are not eligible for Part A, provide details for each type of specified foreign property held at any time during the year. Use additional sheets if necessary. For each entry provide country, type of property, maximum cost during year, cost at year end, foreign income from property, and gains or losses realized.

Country	Type of Property	Maximum Cost During Year (CAD)	Cost at Year End (CAD)	Foreign Income (CAD)	Gain (Loss) Realized (CAD)

If additional pages attached, total number of additional pages:

Summary Totals

Total maximum cost of specified foreign property during year (CAD):

Total cost of specified foreign property at year end (CAD):

Total foreign income reported on this form (CAD):

Declaration and Certification

I certify that:

The information given on this form and any attachments is, to the best of my knowledge, correct and complete.
I understand that failure to report specified foreign property as required may result in assessment, penalties, and interest as provided under applicable tax legislation.
I am authorized to make this declaration on behalf of the taxpayer if signing for a corporation, trust, partnership or other entity, and I have included my capacity below.
I acknowledge that the relevant tax authority may request supporting records and may assess penalties for false statements or omissions.

Provide any additional explanation or particulars (attach separate sheet if necessary):

Signature

Printed Name:

Signature:

Date:

Title / Capacity (if signing for an entity):

Telephone Number:

What the Tax T1135 Form Is and when it applies

The Tax T1135 Form, Foreign Income Verification Statement, is a Canadian income tax schedule used by Canadian residents to report specified foreign property when the cost amount exceeded CAD 100,000 at any time in the year. It collects details about ownership, cost, and income from foreign property so tax authorities can verify compliance with foreign-asset reporting rules. For cross-border practitioners, the T1135 serves a role similar to U.S. foreign-asset disclosures such as FinCEN Form 114 (FBAR) and IRS Form 8938; it is filed with the taxpayer's Canadian income tax return and affects audit risk, reporting accuracy, and penalty exposure.

Why accurate T1135 completion matters

Completing the Tax T1135 Form correctly reduces audit exposure, avoids monetary penalties, and ensures foreign income and assets are visible to tax authorities. Accurate reporting supports correct tax treatment of foreign income, prevents withholding or reassessment surprises, and documents compliance for cross-border transactions and tax treaty positions.

Who typically prepares and files a T1135

Determine filing responsibility early in the tax-preparation workflow to gather valuation, ownership, and documentation well before the return due date.

Individual taxpayers with specified foreign property over CAD 100,000 at any time during the tax year, including jointly held accounts and certain trust interests.
Canadian corporations, trusts, and partnerships holding foreign real estate, shares, debt instruments, or other specified foreign property that meet the reporting threshold.
Tax professionals and preparers who file the taxpayer's return or EFILE the schedule on behalf of clients and maintain supporting documentation for audit.

Core sections and data captured on the Tax T1135 Form

A professional T1135 includes clearly labeled sections for identification, property categories, cost amounts, income, and supporting schedules to reconcile totals and attach translations or valuations when required.

Taxpayer Identification

Taxpayer name, Social Insurance Number or Business Number, and tax year; matches the primary income tax return information precisely.

Property Categories

Distinct categories such as funds, foreign securities, real property, and trusts; each category requires separate cost and income reporting to avoid aggregation errors.

Cost Amounts

Original cost or adjusted cost base reported in Canadian dollars; include conversion method and exchange-rate date used for accuracy and audit traceability.

Foreign Income

Income generated by each asset or category during the year, reported in CAD and reconciled to foreign statements and tax slips.

Ownership Details

Percentage ownership, dates of acquisition or disposition, and whether the property was held directly or indirectly through another entity.

Supporting Schedules

Attachments listing detailed holdings, broker statements, translations, and calculation worksheets that substantiate totals on the T1135 summary.

Essential fields required on the Tax T1135 Form

Taxpayer Name: Full legal name

Identifier: SIN or BN

Reporting Year: Tax year end

Property Type: Category code

Cost Amount: CAD cost

Foreign Income: CAD income

Step-by-step: completing the Tax T1135 Form

Follow these sequential steps to gather information, complete the form, and submit it with the associated tax return.

01

Collect Records: Assemble broker statements, contract dates, and acquisition costs in original currency.
02

Convert Amounts: Convert to CAD using a documented exchange rate and record conversion dates.
03

Complete Sections: Populate identification, property categories, cost amounts, income, and ownership percentages.
04

Attach Documentation: Include supporting schedules and retain originals in case of audit.

How to customize an online T1135 workflow

Configure your digital form to capture required data consistently and reduce manual errors by using predefined fields and validation rules.

Field	Configuration
Taxpayer Name	Required text field, auto-capitalize
Identifier	Mask input for SIN/BN, validate length
Currency Fields	Numeric format with two decimals, auto-CAD conversion note
Attachment	Allow PDF, DOCX upload; require broker statements

Where and how to file the completed T1135

The Tax T1135 is filed with the taxpayer's Canadian income tax return; choose the filing method that matches your preparer channels.

EFILE by Preparer: File as part of the client return using approved tax software and EFILE credentials.
Electronic Return: Include T1135 data in the return when submitting via electronic filing channels supported by CRA.
Paper Return: Attach the completed T1135 to the paper tax return and mail to the appropriate tax centre.
Record Retention: Retain supporting documentation in case CRA requests verification or conducts an audit.

Sharing and eSubmission options for T1135 documents

Use platforms and channels that meet applicable privacy and authentication requirements for the jurisdiction where the taxpayer or preparer operates.

Secure Portal: Tax-preparer portals maintain access controls and version history for statements and schedules.
Encrypted Email: Use S/MIME or TLS-protected email for sending sensitive attachments when portal access is unavailable.
eSignature Platforms: Platforms that support audit trails and encryption enable authenticated remote signing of engagement letters and declarations.

Key filing timelines and related dates

T1135 deadlines align with the taxpayer's income tax return filing due dates; be aware of extensions and individual circumstances that change timing.

Regular Filing Deadline:

Same as the associated income tax return due date.

Self-Employed Deadline:

If self-employed, filing deadlines that apply to the return also apply to the T1135.

Late Filing:

Late T1135 submission may trigger penalties or increased audit scrutiny.

Amendments:

Amend the T1135 when you file an amended return or respond to CRA requests.

Record Retention:

Keep backup documents for the statutory retention period after filing.

Penalties and risks for incorrect or missing T1135 information

Monetary Penalties: Potential financial penalties

Reassessment Risk: CRA may adjust tax owing

Interest Charges: Interest on unpaid balances

Criminal Exposure: Intentional nondisclosure can lead to prosecution

Withholding Consequences: Cross-border withholding reviews increase

Professional Liability: Preparers may face professional discipline

Common mistakes to avoid when preparing a T1135

Reporting market value instead of cost amount without reconciling conversion differences.
Omitting indirectly held assets such as foreign trust interests or shares held through an intermediary.
Failing to document exchange rates and conversion dates used to translate foreign currency amounts.
Attaching incomplete broker statements or failing to reconcile totals to the taxpayer's records.

eSignature vendor pricing and capability snapshot for T1135 workflows

Compare entry-level pricing and selected capabilities to support secure document signing and distribution when preparing T1135 schedules or engagement letters.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	Yes, 7-day free trial	Yes, trial varies	Yes, trial varies	Yes, trial varies	Yes, trial varies
Bulk Send	Yes	Yes	Yes	Yes	Varies
Audit Trail	Yes	Yes	Yes	Yes	Yes
Envelope Cap	No cap	100 envelopes/user/year	Varies by plan	Varies by plan	Varies by plan

Real-world scenarios illustrating T1135 workflow improvements

Two practical examples show how digital workflows and clear documentation reduce friction and support accurate filings.

Optica Ventures

A mid-size advisory firm consolidated foreign brokerage statements into structured schedules for T1135 compliance

The firm used standardized templates for all clients
The result reduced prep time and improved consistency across client filings while preserving audit trails.

Martin Properties

A property management founder tracked foreign rental income and associated costs with a dedicated schedule

Standardized fields and attachments simplified year-end aggregation
Clear records helped resolve a post-filing CRA request quickly and without amendment.

Common questions and practical answers about Tax T1135 Form

Answers to frequent operational and compliance questions when preparing, signing, and submitting the T1135 schedule.

Need help? Contact support

Do I always need to file a T1135?
File a T1135 only if the total cost of specified foreign property exceeded CAD 100,000 at any time during the year. If below the threshold, a T1135 is generally not required but document checks are recommended.
How is cost translated to Canadian dollars?
Use a consistent, documented exchange rate for each transaction or reporting date and record the source and date of the rate used; include conversion worksheets in supporting schedules for audit clarity.
Can I use electronic signatures for engagement letters and supporting declarations?
Electronic signatures are commonly accepted for engagement and declaration documents; ensure the e-signature solution provides an audit trail and meets applicable privacy and authentication expectations for your jurisdiction.
What if I discover an error after filing?
Prepare and file an amended return or provide corrected information to the tax authority as required; document the correction and retain communications and revised schedules for the retention period.
What supporting documents should I retain?
Keep broker statements, purchase and sale agreements, trust documents, and currency conversion worksheets for at least the statutory retention period to substantiate cost amounts and ownership.
Who may sign the T1135 or related declarations?
The taxpayer or an authorized agent may sign supporting declarations; when using a representative, maintain a signed authorization or power of attorney and verification of the agent's authority.

be ready to get more

Join over 28 million airSlate SignNow users

Sign Now