T5 Slips for Simplii Financial - Online or By Mail ? | Page 3 | Simplii Financial | Discussion forum

gamgam said

FYI - Simplii is shown as Canadian Imperial Bank of Commerce on the CRA acct.  

Thanks, I knew that from last year -- I made my own customized interest schedule and list them as "CIBC Direct Banking dba Simplii Financial" in order to distinguish it from the regular CIBC where I also have a HISA.

Coincidentally the Simplii T5 arrived today so I'm good there now, and apparently I didn't earn enough reportable interest income at Ideal Savings outside of my registered products and compound GICs for them to generate a T5, although I still need to report my accrued interest. Fortunately, Ideal's online interface allows users to pull up accrued values by individual GIC as of any past date you want to pick, so that made things easy

Bill said

I don't even know why we have to report amounts they already know about. I've heard at least they got rid of Schedule 4, just have to report the total without details now. Just for fun I'm tempted to leave out one of my T5s this year just to see if anything happens.  

They did get rid of Schedule 4, so I made up my own continuity schedule for interest income and sent that in instead. If you have GICs in taxable accounts, my schedule is actually better because it shows accrued interest in a separate column, as well as having another column for reversing previously taxed interest back out, so that I (or my executors) don't inadvertently get dinged twice by blindly using the T5 amounts.

Maybe I can get a part-time job in forms design at CRA

Londonguy, wouldn't it be a lot easier just to use T5 amounts, ignore accruals - ? I think there's more chance of messing up if you're reporting amounts different than T5s show, no? Plus maybe attracting CRA's attention to see why T5 amounts filed by your fi's don't equal amounts reported by you.

My understanding is that for compound GICs, financial institutions provide the right amount of accrued interest each year for tax purposes (based on anniversary dates).

That won't confuse an executor because the anniversary date used is well known for calculating additional accruals to date of death. Some FIs will actually calculate it for an executor for Final T1 purposes.

Londonguy said

Just trying to follow the rules -- Line 121 - Bank accounts, term deposits, guaranteed investment certificates (GICs), and other similar investments

If you have a lot of taxable GICs in different places, then yes, I agree, the record keeping can be a bit onerous, but what are you going to do? Just using the T5 figures may be easier but it doesn't comply with the regs, so I guess it's a case of which hassle would you like to invite upon yourself. …

I think the Line 121 instructions mentioned are closer to anniversary date or investment year reporting than calendar year accrual reporting:

…
Report the interest you earned during each complete investment year.

For example, if you made a long-term investment on July 1, 2017, report on your return for 2018 the interest that accumulated to the end of June 2018, even if you do not receive a T5 slip. Report the interest from July 2018 to June 2019 on your 2019 return.
…

That calendar year accrual reporting seems closer to what is required of corporations, partnerships, and certain trusts by Income Tax Act subsection 12(3) than of individuals by subsection 12(4):

Interest income

12 (3) Subject to subsection 12(4.1), in computing the income for a taxation year of a corporation, partnership, unit trust or any trust of which a corporation or a partnership is a beneficiary, there shall be included any interest on a debt obligation (other than interest in respect of an income bond, an income debenture, a small business bond, a small business development bond, a net income stabilization account or an indexed debt obligation) that accrues to it to the end of the year, or becomes receivable or is received by it before the end of the year, to the extent that the interest was not included in computing its income for a preceding taxation year.

Interest from investment contract

12 (4) Subject to subsection (4.1), if in a taxation year a taxpayer (other than a taxpayer to whom subsection (3) applies) holds an interest in, or for civil law a right in, an investment contract on any anniversary day of the contract, there shall be included in computing the taxpayer’s income for the year the interest that accrued to the taxpayer to the end of that day with respect to the investment contract, to the extent that the interest was not otherwise included in computing the taxpayer’s income for the year or any preceding taxation year.

Londonguy, be careful when you transition. The T5s you get now for 2018 may include some income accrued to Dec 31 2017 (e.g. a GIC with a term from Feb 1/17 - Jan 31/18) which you may have already reported in 2017 using your accrual method.

. . . alternatetively filed tax return can be changed online via My Account on CRA

The service is called Change my return 🙂

https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/change-your-return.html?utm_campaign=not-applicable&utm_medium=vanity-url&utm_source=canada-ca_change-tax-return

I just discovered, that Simplii T5 was already uploaded online on CRA account.

Big surprise, it's one and only T5 uploaded so far.
And, it's Simplii T5, not Tangerine!

Winnie said
I just discovered, that Simplii T5 was already uploaded online on CRA account.

Big surprise, it's one and only T5 uploaded so far.
And, it's Simplii T5, not Tangerine!  

Thanks for the note. I can see ours on CRA dated Feb 11, 2021