Form T1135 Template

Form T1135 – Foreign Income Verification Statement.

You may find it helpful to use the attached 2025 T1135 template.

You generally must file a T1135 for a tax year if, at any time during the year, you were a Canadian resident and the total cost amount of your specified foreign property was more than CAD $100,000.

Timing and penalties The T1135 is generally due at the same time as your Canadian income tax return (April 30). Late filing can lead to significant penalties, even if no tax is ultimately owing, so it’s important to confirm whether you cross the $100,000 cost-amount threshold.

What counts as “specified foreign property” (common examples)
This can include things like:

• Foreign bank and investment accounts (cash held outside Canada)

• Shares of non-Canadian corporations (including many foreign brokerage holdings)

• Interests in certain foreign trusts

• Foreign real estate held for investment purposes (not for personal use)

• Loans made to non-residents

• Certain other foreign securities and indebtedness

What generally does not count (common exceptions)

• Personal-use property (e.g., a vacation home used primarily personally)

• Property held exclusively in a Canadian registered plan (e.g., RRSP, TFSA, FHSA)

• Foreign property used primarily in an active business

• Assets held inside certain Canadian mutual funds/ETFs (you own the fund units, not the underlying foreign assets)

What information is reported
The form requires summary details about your foreign property, which typically includes:

• The type of property and the country where it’s held

• The maximum cost amount during the year and the cost amount at year-end

• Any income earned (e.g., interest/dividends/rent) and/or capital gains/losses, depending on the reporting method and property type

What we need from you
To determine whether a T1135 is required and to prepare it accurately, please send:

• Year-end statements for all non-Canadian accounts/investments

• A summary of foreign assets held at any point during the year (including accounts opened/closed)

• Cost/ACB information (or purchase history) for foreign investments

• Details of any foreign real estate held for investment, including ownership %