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Email this9:22 am
September 21, 2009
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Got my t5s from ally yesterday. Made $68 in interest last year. Guess I should have been checking more closely 🙂 So after taxes will be making less than $50. Was my fault anyway, they have the handy interest acquired this year posted at the top after login.
It's only a few dollars, so no big deal. More annoyed at myself that I could have easily moved money to ctfs or maxa to avoid.
10:27 am
Correct me if I am wrong, but it sounds to me like you are saying that if you did not earn more than $50 in interest, a T5 would not have been issued, and thus you would not have to report the income on your tax return.
If this is what you are saying, the CRA only states that a T5 does not need to be issued if the amount paid in interest is less than $50. The CRA does not state that if a T5 is not issued, then you do not have to report this as income.
You would still have to report the income even if a T5 was not issued to you.
I apologize if I interpreted your post incorrectly.
8:28 pm
September 21, 2009
Offline
Bah. That's pretty funny that they want you to be honest and have to manually figure out your interest under $50. That's just like saying to waiters that they have to claim there tips.
I think there were a few threads mentioning that it's just a scoff law. Versus being audited down the road... So the point was more of humour and nothing else.
9:03 pm
> the CRA only states that a T5 does not need to be issued if the amount paid in interest is less than $50
Which in turn doesn't mean that a bank *won't* issue a T5 if the interest is less than $50. I got T5s for 2 accounts that were under 10 cents of interest each. They were probably mailed separately, too.
Sorry if the humor was wasted on me. If it helps, I don't think it's unreasonable for people to "forget" about the small interest income they make, if they don't get a T5 for it.
10:34 pm
i made a total $8.30 interest last year (GIC and CSB). and, yeah, i will STILL put that in my tax return, let the taxman take notice of that darn minuscule interest.
if i have to lie, it better be about my age and not something else. haha.
2:59 pm
I also declare on my return interest amounts under $50. In my case, it's because I have significant business interests and have a higher than average probability of having my return selected for "further review" (i.e. get your paperwork together and waste a day of your time at your local tax office). In my experience, the CRA will look for any excuse to delve deeper and deeper into your finances, and failing to report a few bucks of interest income is as good an excuse to them as any. For the average wage earner, "forgetting" to declare interest amounts for which you weren't issued a T5 probably isn't a big deal. In the unlikely event that your return is selected for "further review", you can probably just plead ignorance and get away with paying the interest plus a small fine (provided your tax record is otherwise clean).
5:55 pm
December 12, 2009
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I used to report small amounts on my T5 where no tax slip was issued but I don't believe it's required. Honestly, the CRA is not going to condemn you for not reporting amounts under $50.
However, because CSBs are issued by a government entity, I'd still report those amounts - you can call Canada Savings and Investments, a Special Operating Agency of the Department of Finance Canada and they'll give you the interest earned on your bonds in a given year even though no T5 was issued because it was under $50.
I got my tax slips from Ally and had something like $280 on the one slip and $570 on the other so I'll definitely report those amounts.
Cheers,
Doug
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