Log In
Register
Home
Topic RSS
Facebook
Twitter
Email this9:48 pm
July 5, 2019
Offline
At Simplii you get one T5 per GIC. That is good to keep my GICs and spouse's GICs separate for income tax. But every other bank I have dealt with just generates a single T5 with all the GIC interest combined. Anyone know of any other bank that does it like Simplii? Or perhaps it can be requested?
11:19 pm
February 27, 2018
Offline
Kelbee, There are pros and cons to multiple "T" slips. Did i get them all and if so... where the hell did my wife put them? Then you have to go digging for those old quarterly statements for confirmation.
After all of that. You have to pack 17 different forms into an envelope designed to carry 5. Your big fat tax envelope jams the postal sorter machine, the workers go on strike and the price of stamps go up.
9:11 am
September 11, 2013
Offline
T5s are generated by SIN, banks don't combine different buyers of GICs into one slip. Whoever buys the GIC(s), that's whose SIN is attached to it and that's who gets the T slip.
9:52 am
November 7, 2014
Offline
Generally, T5s are issued and mailed to the account holder(s) in the same order as the names appearing on the GIC. If the tax returns are filed electronically, the CRA does pay attention to which name is first on the T5. That is the person who must claim the interest first on an electronic return and then the interest is split off to other joint account holders in the proportions indicated by the taxpayer. I have had personal experience with this issue and know how picky the CRA can be about this. If joint account holders have more than one GIC in the same names and in the same order, one GIC will usually be issued by the institution.
12:54 am
October 21, 2013
Offline
I'm confused, gicjunkie.
Can you elaborate what it is that CRA gets picky about, and why?
7:20 am
October 27, 2013
Offline
The expectation is that the SIN number on the tax slip is expected to declare at least some of the investment income.
IOW, make sure the person who mostly or entirely funded the GIC is the first name on the GIC and thus the SIN that will be on the tax slip.
8:20 am
December 12, 2009
Offline
When I had savings accounts with HSBC Bank Canada, one thing I will say about their T5 process, they mailed a T5 along with a statement at the bottom of the T5 that listed the interest paid in each savings account when your combined interest paid was more than $50.00. Coast Capital Savings merely mails you a T5, but at least they use MemberDirect for online banking so I just do an "advanced search" for all "deposits" with the narrative "interest paid" between Jan 1-Dec 31 for the given tax year, add up my interest paid on each account, and I'm done.
Still, HSBC's process was slick. Ally also did the same process as HSBC--that is to say, they attached a statement showing the interest for each account.
This is one of the reasons I'm picky about wanting sufficient transaction narrative detail on my e-statements. 😉
Cheers,
Doug
8:26 am
April 26, 2019
Offline
What are your thoughts on Oakens monthly statements, Outlooks semi annual statements or Accelerates quarterly statements. What is the legal requirement to produce a statement that fully reflects your banking transactions and investments?
9:11 am
December 12, 2009
Offline
GICinvestor said
What are your thoughts on Oakens monthly statements, Outlooks semi annual statements or Accelerates quarterly statements. What is the legal requirement to produce a statement that fully reflects your banking transactions and investments?
In terms of credit unions, most of them are provincially regulated so there is no stipulated requirement for a statement of account. Most credit unions ostensibly follow the federal requirement of federal credit unions and banks because there may be liability for them to provide restitution for transactions which the customer hadn't had a chance to fully review under general civil law provisions.
Norman will probably chime in with more detail on the particular general statutes that necessitate this reporting in the context of provincial credit unions, which will be helpful. However, as to a specific mention with a Credit Union and Caisses Populaire Act each province, I'm not aware of anything.
Cheers,
Doug
8:23 pm
April 6, 2013
Offline
gicjunkie said
… If the tax returns are filed electronically, the CRA does pay attention to which name is first on the T5. That is the person who must claim the interest first on an electronic return and then the interest is split off to other joint account holders in the proportions indicated by the taxpayer.…
That doesn't sound correct.
Each person, including the primary holder, reports only his or her share of the interest from a joint account or joint GIC.
The original T5 slip is filed with the return of the first person (the primary holder) named on the slip. The remaining joint owners file a copy of the slip with their returns.
This is from RBC Wealth: Income from Joint Accounts:
…
For example, the [T5 or T3] tax slip may be issued to you even though you only contributed a portion of the funds or never contributed any capital to the joint account. The other joint account holder(s) who contributed the capital would be required to report their proportionate share or all of the income even though a tax slip was not issued in their name and SIN. …
8:30 pm
April 6, 2013
Offline
Doug said
In terms of credit unions, most of them are provincially regulated so there is no stipulated requirement for a statement of account. Most credit unions ostensibly follow the federal requirement of federal credit unions and banks because there may be liability for them to provide restitution for transactions which the customer hadn't had a chance to fully review under general civil law provisions.
…
I don't think there is even any account statement requirement at the federal level.
One of my old PC Financial savings accounts, from Amicus Bank and later CIBC, used to have an annual statement.
Tangerine Bank continues to issue a quarterly paper statement for their savings account if one hasn't switched the account to electronic statements.
There's definitely no legal requirement for a consolidated statement. If one has a chequing account, savings account, and two GIC's with a bank, the bank can issue four separate statements.
8:45 am
September 11, 2013
Offline
Norman1, it's true that the person whose funds generated the interest is required to report the interest income per the Income Tax Act, never mind what the T5 SIN says, but years ago I had to explain that to CRA agents, i.e. they insisted they needed to match the SIN with the reported income, so I gave that up (we live in a place where the law enforcers discard the law, if they even know it, in favour of convenience, make-it-up-as-we-go-along, "common sense", "fairness", etc) and now we just report the interest, dividend, capital gain, whatever income based on the SIN as shown on the relevant slip. CRA's happy now, leaves me alone.
8:52 am
November 7, 2014
Offline
Norman1 said :"The original T5 slip is filed with the return of the first person (the primary holder) named on the slip. The remaining joint owners file a copy of the slip with their returns."
The reason I said "filed electronically" is because one does not enclose T5 slip copies with the returns filed electronically. The CRA has the T5s on file and first recognizes the "primary" account holder, ie. the first name on the slip, as the person to first report the interest. On the electronic tax return you indicate if the interest is to be shared and in which proportion, ie. 50% or other.
To Loonie: I was once audited by the CRA because my interest slips did not tie in to their records. I explained that I had reported all of our joint T5s on my T1 and then apportioned the interest accordingly. They said I should not do that. The person whose name appears first should show the interest on that return and then the interest should be apportioned to the joint holder(s). Again, this was for an electronic filing.
9:06 am
October 21, 2013
Offline
Thanks for the clarification, gicjunkie. I understand now.
11:03 am
October 27, 2013
Offline
gicjunkie said
I was once audited by the CRA because my interest slips did not tie in to their records. I explained that I had reported all of our joint T5s on my T1 and then apportioned the interest accordingly. They said I should not do that. The person whose name appears first should show the interest on that return and then the interest should be apportioned to the joint holder(s). Again, this was for an electronic filing.
I agree that is how it should be done.
5:43 am
April 6, 2013
Offline
gicjunkie said
Norman1 said :"The original T5 slip is filed with the return of the first person (the primary holder) named on the slip. The remaining joint owners file a copy of the slip with their returns."The reason I said "filed electronically" is because one does not enclose T5 slip copies with the returns filed electronically. The CRA has the T5s on file and first recognizes the "primary" account holder, ie. the first name on the slip, as the person to first report the interest. On the electronic tax return you indicate if the interest is to be shared and in which proportion, ie. 50% or other.
…
I think I understand what you mean. There's confusion over the term "reporting".
When preparing the return electronically, one "enters" the T5 slip for the joint account into the return of the person named first on the slip (the primary holder). As well, one enters the primary holder's share (0%, 20%, 50%, etc) of the interest.
The software will then "report" that portion of the interest on line 121 (Interest and other investment income) of the primary holder.
Please write your comments in the forum.