Tax question for Johnboye
 

I have a property in the UK that my children live in. No income is made from this property and it is still in my name. I know i have to declare it every year to the tax people but im not sure what form I need to fill out.
The T1135 seems to expect an income, as does the T1135e
Is it classed as personal property and therefore I dont need to say anything? sorry to sound foolish but im getting confused and I really dont want to get it wrong.

Re: Tax question for Johnboye
 

Personal use property is defined in section 54 of the Income Tax Act:

“personal-use property” of a taxpayer includes

(a) property owned by the taxpayer that is used primarily for the personal use or enjoyment of the taxpayer or for the personal use or enjoyment of one or more individuals each of whom is
(i) the taxpayer,
(ii) a person related to the taxpayer, or
(iii) where the taxpayer is a trust, a beneficiary under the trust or any person related to the beneficiary, ...


My bolding, but (a)(ii) seems to cover it. Therefore you don't need to report this on a T1135, or anywhere else AFAIK

Re: Tax question for Johnboye
 

Thank you very much Johnboye :-)

Re: Tax question for Johnboye
 

After receiving a notice from the tax people asking me to fill out a T1135 I just spoke with the CRA and they say I have to declare any income I get from this house, even though it doenst come into Canada and the house is lived in by my children, apparently the fact that the children pay the bills via my UK bank account would give me an income that i must declare :-(

Re: Tax question for Johnboye
 

You might want to look at this link http://www.cra-arc.gc.ca/tx/nnrsdnts...fq-eng.html#h7 See Q.32, especially example c).

I don't see any reasonable expectation of profit that would make the property specified foreign property.

Re: Tax question for Johnboye
 

Thank you for that JonboyE, i will be using that as my argument when the tax office phones me back in the next few days.....ha ha I get passed round the system 3 or 4 times only to find the person i need to speak to isnt there, no different to the UK then really is it.
Anyway hopefully they will agree its a personal property and leave me alone, fingers crossed :-)

Re: Tax question for Johnboye
 

Hi,

If I became tax resident in Sep 2013, by what date do I have to submit the T1135?

Thanks

Andrew

Re: Tax question for Johnboye
 

JonBoyE will correct me If I'm wrong but I think Individuals who immigrate to Canada are not required to file Form T1135 in the taxation year in which they first become Canadian tax residents (unless they were previously Canadian tax residents)

Re: Tax question for Johnboye
 

Yip I read that on the CRA website thanks, but what I need to know in my case is, does this form need to me submitted by the end of July this year or 2015?

Regards Andrew

Re: Tax question for Johnboye
 

I assume you will submit it for the Tax Year 2014 ie on or before April 30th 2015.

Re: Tax question for Johnboye
 

Thanks for that, so I have time to work on it before submission. Oh well time to submit my UK return now!

Thanks

Andrew