# T5 in US$ from US stock dividends



## gibor365 (Apr 1, 2011)

I got T5 in US$ from US stock dividends... When I auto-filled (from turbotax), it has all amounts in US$ with source country US... Should I manually to convert all values into CAD$ using BoC FX rate? and if yes, should I still leave source country US?


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## gardner (Feb 13, 2014)

Make sure box 27 says that the amount is USD. If it is blank or says CAD then the amounts have already been converted. I think T5s are generally issued in the actual currency, so it could well be USD and you will have to manually convert the values.

It is generally safe to use the Bank of Canada average rate for 2020 (1.3415) but you might have tracked the actual exchange rates on the dates you received payments or have tracked the actual exchange rate you received on converted amounts. It is permissible and fair to use any of these rates, but it is required that you be consistent in how you do conversions. Safest for most people and least likely to raise eyebrows at the CRA is to use the BOC average rate.


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## james4beach (Nov 15, 2012)

gardner said:


> Make sure box 27 says that the amount is USD. If it is blank or says CAD then the amounts have already been converted. I think T5s are generally issued in the actual currency, so it could well be USD and you will have to manually convert the values.


I have a foreign income T5 that matches what you say.

Box 15 (Foreign Income) says 460
Box 27 says USD

This is showing 460 USD of dividends, which should be converted at the average rate for the year, 1.3415
This results in $617 of foreign income


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## gibor365 (Apr 1, 2011)

OK, so my understanding that I need to modify Box 15 and box 16 by multiplying amounts by 1.3415, correct?


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## Numbersman61 (Jan 26, 2015)

gibor365 said:


> OK, so my understanding that I need to modify Box 15 and box 16 by multiplying amounts by 1.3415, correct?


Correct


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## Eclectic12 (Oct 20, 2010)

OOH ... the US based transfer agent is only providing a US tax form so autofilling from CRA is not an option for me.

OTOH ... when I manually enter the USD amounts, the tax software does the conversion to CAD, based on the BoC rate automatically. 


Which makes me wonder whether there is anything required beyond making sure the USD T5 has the correct USD amount and is flagged as having a USD source.


Cheers


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## AltaRed (Jun 8, 2009)

The Intuit (TurboTax) community forums say the USD amounts must be converted manually but that is based on 2019 commentary. Perhaps TurboTax changed their software for 2020. The point is the OP could try googling on the TurboTax community forum OR looking within the software Help menus.


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## NoSmoke (Apr 1, 2021)

I have the same question. For 2020 I reported USD dividends (based on the T5 from my Canadian stockbroker) but forgot to convert the amounts to Can $ (as I had done in previous years). Just received my Notice of Assessment and was surprised to find the reporting in US$ was accepted as reported. The filing was via Turbo Tax and Netfile. If one is required to convert to Can$, why did the tax assessment not catch the error? I would assume CRA has access to the same T5 which states in box 27 that it is in "USD".

Tried to call CRA but, as usual, virtually impossible to get through unless one is willing to try again and again and, wait for an hour or two if lucky enough to get in the queue.


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## AltaRed (Jun 8, 2009)

That is the problem with auto-fill as well as what FIs send CRA (not ready for prime time for currencies other than CAD). I am guessing CRA computers will catch it later with an amended NOA but that is not certain. Do a T1-ADJ online for that T5 by multiplying your CAD amount by 1.3415 and then adjusting the total T5 amount upwards by that difference (for the boxes applicable.such as Box 12100 and 43700 to account for changes in Box 15 and 16 amounts).


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## Numbersman61 (Jan 26, 2015)

Turbotax now has a feature wherein you enter the amounts from the T5 IN US$ and it automatically converts the data into Canadian $ using the CRA exchange rate of 1.3415


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## NoSmoke (Apr 1, 2021)

Thanks for the replies folks, I think I'll email CRA to see what their explanation is.


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## Yasehtor (Oct 12, 2018)

NoSmoke said:


> Thanks for the replies folks, I think I'll email CRA to see what their explanation is.


AltaRed has the correct approach... the onus is on the taxpayer to file accurately not on CRA to catch and amend.
CRA relies on the info that was sent to them by the T5 issuer.


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## NoSmoke (Apr 1, 2021)

Yasehtor said:


> AltaRed has the correct approach... the onus is on the taxpayer to file accurately not on CRA to catch and amend.
> CRA relies on the info that was sent to them by the T5 issuer.


Agreed, was just a bit surprised the CRA assessment did not correct it. Also found out one cannot email CRA.


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## AltaRed (Jun 8, 2009)

NoSmoke said:


> Agreed, was just a bit surprised the CRA assessment did not correct it. Also found out one cannot email CRA.


CRA NOAs simply validate that what you sent in and calculated your taxes on, matches what they have on your file. It does not say your taxes are correct and that your file will not be verified/validated/checked at a later date, e.g. summer or fall. CRA's system for T5s, T4008s, etc. obviously do not have a currency flag, dumb and obvious as that might seem. Which is why I said in an earlier post that a follow up check of the file may catch it later.

Why did you assume you could email CRA? They would possibly get 1-5 million emails a day on almost everything imaginable subject and they sure don't want a staff of 1000 monitoring emails every day.

Do a T1ADJ online via MyAccount, or use the fillable PDF form and mail it in.


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## NoSmoke (Apr 1, 2021)

Numbersman61 said:


> Turbotax now has a feature wherein you enter the amounts from the T5 IN US$ and it automatically converts the data into Canadian $ using the CRA exchange rate of 1.3415


I just refiled with TurboTax using ReFile but, when editing the T5 in question, did not see any option to enter US$. Is it some other location?


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## NoSmoke (Apr 1, 2021)

AltaRed said:


> Why did you assume you could email CRA? They would possibly get 1-5 million emails a day on almost everything imaginable subject and they sure don't want a staff of 1000 monitoring emails every day.


Oh, I just thought they might possibly have some method of augmenting their absolutely crappy phone service.


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## Money172375 (Jun 29, 2018)

NoSmoke said:


> I just refiled with TurboTax using ReFile but, when editing the T5 in question, did not see any option to enter US$. Is it some other location?


You need to enter Cdn dollars, so do the conversion at the rate above


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## Numbersman61 (Jan 26, 2015)

NoSmoke said:


> I just refiled with TurboTax using ReFile but, when editing the T5 in question, did not see any option to enter US$. Is it some other location?


I was incorrect. You have to convert to Canadian $ before entering data.


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