Originally Posted by Hobbess

It was a deliberate decision at 1.79 when I needed to last bring money over to instead get my CAD$ from a relativley low interest rate credit line. I thought at the time it was a 6-month plan to wait till about now and would see the rate back over 1.8 and closer to 1.9. However it's since dropped like a stone and I now think realistically a UK recovery may take a few years.

The good news is I've almost been able to pay off the credit line through tax returns and other CAD$ received so I get to reset my plans a little.

Question that is somewhat linked to my shares post earlier. If you receive UK£ after becoming resident, say from a house sale, is it valued on the day you recieve it? This was my point on the shares, you would see a capital gain/loss on shares changing value while FX changes, and also on cash that bought those shares, unless the cash is revalued from an FX viewpoint after selling.

Originally Posted by The Aviator

If you receive GBP on disposal of an asset, there several valuations for tax purposes. The difference between the value of the asset at the time you became a tax resident and the value at the time of disposal, both converted to CDN$ on the transaction date (original valuation in day of landing and the prevailing rate on completion of sale). If you then hold the funds and there is a loss or gain (in CDN$) when you transfer them from GBP to CDN$ then there may be a currency gain/loss. Any earnings in between are also reportable.

If you hold foreign assets valued at over $100k these have to be reported on your tax return. Failure to do so can trigger a hefty fine.

All figures for tax purposes are at the prevailing BOC FX rate on the day of the transaction or deemed disposal.