# What to do with a T5 slip in USD?



## kreyszig (Jan 16, 2013)

So I got a T5 slip from my broker in USD. When I enter it in my tax software it seems to simply add the USD amount to CAD amounts on my T1. What is the proper way to handle it? Should I convert the boxes of the T5 slip in CAD and write these down in my tax report or there is a place where I can enter a conversion rate?


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## liquidfinance (Jan 28, 2011)

Easiest method is to use the Bank of Canada average annual exchange rate and convert the amounts into CAD


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## kreyszig (Jan 16, 2013)

liquidfinance said:


> Easiest method is to use the Bank of Canada average annual exchange rate and convert the amounts into CAD


I have calculated the equivalent amount in CAD using the BoC rate at noon for each one of my distribution payment, so I can use the total amount to get an effective conversion rate for the whole T5. My question though is more how to input the CAD amount/effective conversion rate in my tax report. I thought I had to enter the T5 slip as is with the same amount in the boxes, but I don't see where I can enter a conversion rate so the amount is added properly to my income.


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## OptsyEagle (Nov 29, 2009)

I adjust every box to Canadian dollars and enter that. I agree, the government should force the conversion to be done by the financial institution and have the Cdn. dollar equivalent put into the boxes. I usually write the exchange rate on the T5 in case someone decides to look at it closer.

I have never had any reassessments by doing the above for over the last 10 years.


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## kreyszig (Jan 16, 2013)

OptsyEagle said:


> I adjust every box to Canadian dollars and enter that. I agree, the government should force the conversion to be done by the financial institution and have the Cdn. dollar equivalent put into the boxes. I usually write the exchange rate on the T5 in case someone decides to look at it closer.
> 
> I have never had any reassessments by doing the above.


Ok good to know. Well in fact I am glad that my broker provides the US amount, because it allows me to use the same conversion method consistently for everything (i.e. conversion rate at noon for each transaction). I don't mind doing the calculations, I was just wondering how to input it in the tax report. Thanks!


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## liquidfinance (Jan 28, 2011)

OptsyEagle said:


> I adjust every box to Canadian dollars and enter that. I agree, the government should force the conversion to be done by the financial institution and have the Cdn. dollar equivalent put into the boxes. I usually write the exchange rate on the T5 in case someone decides to look at it closer.
> 
> I have never had any reassessments by doing the above for over the last 10 years.



The government should not force the institution. How does the institution know if you intend to use the daily noon rate or the annual average rate?


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## OptsyEagle (Nov 29, 2009)

Perhaps that's why they don't. 

All I know is that before I did what I did above I simply put in the numbers as Canadian dollars because I did not notice the USD indication on the T5. That cost the government a little tax revenue. For anyone interested, I never received a reassessment for those years either.


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## fatcat (Nov 11, 2009)

simple tax does this automatically
you enter the number on the t5 (the USD number) slip and there is a box for the BOC 2013 USD/CAD exchange rate and you enter that
simple tax does the calcs for you


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## AltaRed (Jun 8, 2009)

fatcat said:


> simple tax does this automatically
> you enter the number on the t5 (the USD number) slip and there is a box for the BOC 2013 USD/CAD exchange rate and you enter that
> simple tax does the calcs for you


I think most tax software packages have (or should have) that option. UFile does and that is what I use.


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## kreyszig (Jan 16, 2013)

AltaRed said:


> I think most tax software packages have (or should have) that option. UFile does and that is what I use.


I am using TurboTax. Does anyone know if it is possible with this software?


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## AltaRed (Jun 8, 2009)

Open TurboTax and see whether there is a place in a "T5/T3 Investment Income" form (where you input data) to select a currency other than CAD. It should be plain to see.


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## kreyszig (Jan 16, 2013)

AltaRed said:


> Open TurboTax and see whether there is a place in a "T5/T3 Investment Income" form (where you input data) to select a currency other than CAD. It should be plain to see.


Yes there is and this is what I had done, but it adds the USD amount to the CAD amounts...


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## kcowan (Jul 1, 2010)

Ufile asks for the exchange rate used but says in the help that conversions must be done manually.

But it actually does the conversions so I guess it is just the help that has not been updated.


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