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September 10, 2018
9:36 am
christinad
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Do you pay the tax on gics when they mature if it is more than a year or would you pay tax every year on that years interest?

September 10, 2018
10:30 am
christinad
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Thanks,

Does the bank usually give out a t5 at the end of the year?

September 10, 2018
10:32 am
Rick
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Bank should send you a T5 yearly, no matter what the term.

September 10, 2018
10:35 am
Top It Up
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The last non-registered GICs I had were years ago with Outlook Financial and they did issue a T5 showing interest earned.

You would have to confirm the T5 issue with your FI.

September 10, 2018
12:59 pm
toto
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For my situation I always ask for annual interest on my gic to keep my taxes current. That way I know I'll get the t5 after the first year of opening the gic.
Just wanted to mention to newbies that a lot of the banks on this forum now don't mail out t5's, you have to download them yourself.

September 26, 2018
2:52 pm
moneyhelp
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christinad said
Do you pay the tax on gics when they mature if it is more than a year or would you pay tax every year on that years interest?  

WOW, I just about to ask this same question, so thank you.

@Top It Up: Thank you for that link, it was very informative. However, what I got from it, is that you have to declare interest earned yearly, even if the term is set for 2+ years, but going back to the T5, do most financial institutions make a T5 available (and you just download it) or do you have to request one?

Also, I'm aware that most (if not all) FI will only issue a T5 if the interest earned is $50 or more. I say this because I have a USD account and a CAD account with a HISA at a FI for when I play the Tangerine moving game and there are times when I keep $ in these accounts which do not generate $50 threshold and therefore no T5 is generated, but I still claim this income when I file my taxes. I'm wondering if GICs are the same?

September 26, 2018
3:45 pm
Loonie
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GICs would be the same. It's all interest income.

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