Filling out a T5 form

Specific Guidelines

• Year

  Put in the last four digits of the calendar year that the money was earned.

• Actual amount of dividends other than eligible dividends, Box 10

  Input the amount of non-eligible dividends paid by a Canadian corporation after 2005, or the amount we determine to be non-eligible dividends.

  The dividends must be paid by a taxable Canadian corporation to Canadian citizens or permanent residents (other than a charitable trust).

  Don't put in:

  • dividends paid or payable by a credit union to a member who holds credit union shares (we treat these amounts as interest, see box 13) if the credit union shares are not listed on a prescribed stock exchange.
  • any dividends distributed to non-taxpaying shareholders (see box 14) that are subject to federal dividend tax.
  • payable dividends (for details, see box 24)
  • dividends paid by a mortgage investment company to its shareholders that are subject to taxation but are not capital gains dividends (we consider these payments to be interest; see box 13).
  • dividends from capital gains (box 18)

  If the only dividends you receive are those from capital gains, you can skip filling out a T5.

• Non-eligible dividends and their taxable value are reported in Box 11.

  Fill out only box 11 if you are a Canadian resident (other than a charity trust). Enter in box 11 the sum of your box 10 entry plus any taxable gross-up amounts

  The taxable gross-up amount for dividends paid in 2019 or later is 15% of the dividend amount reported in box 10 Use the appropriate gross-up factor from the table under "Reporting requirements" at Unclaimed amounts: Dividends or interest for dividends paid in 2018 or earlier.  

  If the dividends reported in box 10 were paid to a corporation, you do not need to fill out box 11.

• The dividend tax credit for dividends that are not qualified dividends should be entered in Box 12.

  Only Canadian citizens or permanent residents (other than a charity trust) need to fill out box 12.

  With respect to dividends paid in 2019 and beyond, the Box 12 should be filled out with ,000, which is 9/13 of the taxable gross-up amount. 3.01 percent of the sum you indicated in box 11

  Use the "Reporting requirements" table at Unclaimed amounts: Dividends or interest to determine the appropriate gross-up factor for dividends paid in 2018 or earlier.

  If the dividends reported in box 10 were paid to a corporation, you do not need to fill out box 12.

• Canadian Interest Sources (Box 13)

  If you haven't already, please include the following sums:

  • pay on a bond or debenture that has been properly registered
  • The rate of return on a loan made to or deposited in, or on, a business, organization, institution, partnership, trust, or other legal entity
  • Investment broker or dealer account interest
  • insurance-related interest paid by an insurer on a policy or annuity
  • accrual of interest on the amount still owed as expropriated property compensation
  • Unless paid by an individual, the interest portion of Blended payments must be paid by a business, organization, association, institution, partnership, or trust.
  • Credit union dividends are dividends paid or payable to a credit union member whose credit union share is not traded on a stock exchange that meets certain requirements.
  • payments made by a mortgage investment trust to any of their shareholders that were considered income rather than capital gains

  Avoid including:

  • investment from a foreign institution (for box 15), outside of Canada.
  • a person's blended payment's interest portion
  • interest on a private mortgage is an example of interest paid from one individual to another (this does not include interest paid by investment brokers or dealers on client program accounts).
  • interest accrued on loans from financial institutions, banks, or other businesses whose primary function is to extend credit
  • accrued annuity income as defined in the previous paragraph 56(1)(d) 1) or the cash value of specific life insurance policies (see box 19) )

  Accrued interest explains how interest is calculated on investments. See the page titled "Unclaimed amounts" for more details on unclaimed interest.

• Other Canadian Sources of Income (Box 14)

  Find box 14 in the section labeled "Other information." Other Canadian currency income should be entered in the "Amount" box.

  Additional resources include:

  • dividends paid to an individual by a Canadian corporation that is not a taxable Canadian corporation, both those that are subject to tax and those that are not (for more information, see Deemed dividends).
  • income reported by life insurance companies that must be reported by policyholders under section 56(1)(j)
  • refunds paid to an individual taxpayer from an EFA after 1995

  An EFA is a trust set up and maintained by an eligible person specifically to pay for burial or cremation costs. Distributions made from the arrangement after 1995 that are not for funeral or cemetery services and do not reflect prior contributions are then reported by the custodian. Any trust established under an EFA may have the custodian serve as trustee. Any individual eligible to receive a payment under the EFA for funeral services can act as custodian in the absence of a trust. A funeral director or cemetery operator in Canada must hold the appropriate provincial or territorial license or authorization in order to legally serve their clients.

  In a blank box labeled "Other information," the EFA custodian must enter the number "14." Report the lesser of the following in the "Amount" box located next to box 14:

  • distributions made to a taxpayer from an EFA (other than those made to cover the costs of a deceased account holder's funeral or burial).
  • the sum shown in the following chart on row 7:
  1. Input the individual's EFA balance (excluding the value of any property held in a cemetery care trust) before the refund is calculated.

           Money amount here is blank.

  2. Enter the sum of all EFA distributions used to pay for the deceased's funeral and/or burial expenses (other than those paid for by a cemetery care trust).

           Money amount here is blank.

           Money amount not shown here.

  4. Enter the sum of all contributions (other than those held in a cemetery care trust) to the individual's EFA before the distribution.

           Amount to be entered in blank

  5. Enter the sum of all amounts transferred, credited, or added to the individual's balance as a result of deemed distributions that exceed the amount included in calculating the taxpayer's income. Footnote 2

           Money amount here is blank.

           Money amount not shown here.

           Money amount not shown here.

  Mr When Gilbert passed away, he put ,000 toward a preneed funeral plan. Ten thousand dollars were accumulated before Mr. Death of Gilbert The sum of ,500 was paid as part of the funeral arrangement. The estate was reimbursed the remaining $500. With respect to Mr. X's T5 slip, the EFA custodian would enter $500 in box 14 for his "Equitable Fund Accrual." The Estate of Gilbert This sum cannot exceed the lower of:

  • The refund amount is $500.
  • $2,000 ($500  ,500 − ,000)
• Foreign income (Box 15)

  Select box 15 from the "Other information" section. Gross income earned from sources outside of Canada should be entered in Canadian dollars in the "Amount" box. Don't deduct any taxes that were withheld abroad from the total. Fill in the amounts received for foreign spin-off shares from any countries other than Canada. For information on how to report foreign currency in box 27, if applicable.

• Foreigh tax withheld and paid

  Find box 16 in the section labeled "Other information." If you had any foreign income tax withheld from your gross foreign income reported in box 15, enter that amount here. Include the Canadian dollar equivalent of the amount of foreign income tax withheld. In order to determine their federal, provincial, or territorial foreign tax credits, the T5 slip recipient will need to know this amount. If you don't have access to Canadian dollars, please see box 27

• Royalties earned in Canada are reported in Box 17.

  Find and label box 17 under "Other information." Fill out the "Amount" box with the total royalties received for the year. Payments made in exchange for the use of an author's or inventor's creation, or for the right to extract materials from the earth, are known as royalties.

• Capital Gains Dividends, Section 18

  Please enter the total amount of capital gains dividends that were paid to you by:

  • a company that invests money
  • Corporation that invests in mortgages
  • a company that manages mutual funds

  If the only dividends you receive are those from capital gains, you can skip filling out a T5.

• Annuity income should be reported in Box 19.

  Locate box 19 under "Other information" and type in the following figure there:

  • income from a life insurance policy that must be reported to the Internal Revenue Service under Section 12 2
  • the amount of annuity payments subject to income inclusion under the old Paragraph 56(1)(d) 1) For pre-1990 annuity agreements
• Statistical code (Box 21)

  For each slip, specify with one of the following codes:

  • Unique "O"
  • "A" changed (adding or removing personal or financial details).
  • Cancelled "C"

  When filing a copy of the T5 with us, please indicate the reason for the "A" or "C" change at the top of the form (for example, "AMENDED" or "CANCELLED") and include an explanatory letter. Amending, canceling, supplementing, and replacing T5 forms has more details.

• Number of the recipient (Box 22)

  Enter the recipient's SIN if they are an individual (as opposed to a trust). Only one of the account holders' SINs needs to be entered for interest to be credited to a joint account.

  You must take reasonable measures to obtain the SIN of the intended recipient. Each instance in which the SIN is not provided on a slip could result in a $100 fine. If a customer informs you that they do not have a SIN but are applying for one, you must ensure that their return is completed and filed before the applicable deadline. Do not fill out box 22 of the T5 if the recipient's SIN has not been received.

  Do not enter the individual's SIN in box 22 if you are reporting a payment made in trust to a financial institution on behalf of the individual (such as an interest payment to the trustee of a self-directed RRSP).

  Enter the trust account number if the recipient is a trust.

  Whether the recipient is a sole proprietor, partnership, or corporation, their 15-character program account number should be entered here.

  The three-part program account number is as follows:

  • a company's unique identifier is its nine-digit Business Number (BN).
  • The type of program account is designated by a two-letter code.
  • Each of a company's accounts in a given program is distinguished by a unique four-digit reference number.
• Type of Recipient (Box 23)

  To specify who received the money from your investments, please use one of the following codes:

  One for a person

  Accounts held by two or more people are considered "2s."

  In the case of a company, "3"

  "4" for a group such as a company, a club, a partnership, or a trust (RRSP trustee, fiduciary-trustee, nominee, or estate).

  The number "5" denotes a government, government agency, or international organization.

• Amount of qualified dividends received in Box 24

  You can either enter the actual amount of dividends received or the amount we estimate you will receive based on our calculations. After 2005, Canadian corporations could only pay dividends to Canadian citizens and permanent residents.

  Taxable dividends must, among other things, have been designated as such by the corporation paying the taxable dividend in order to qualify as eligible dividends.

  Eligible dividends are discussed in greater detail in Publication T4012, T2 Corporation - Income Tax Guide.

  Avoid including:

  • dividends paid or payable by a credit union to a member who owns a share of the credit union (we treat these amounts as interest, see box 13) if the share is not listed on a prescribed stock exchange.
  • capital gains dividends (for information on how to report capital gains dividends, check box 18).
  • dividends distributed to non-corporate shareholders (see box 14) who are not qualified for the federal dividend tax credit.
  • dividends not included in the Eligible Dividends box
  • dividends paid to shareholders by a mortgage investment corporation that are subject to taxation but are not capital gains dividends (we consider these dividends to be interest; see box 13)
• Dividends subject to taxation (Box 25)

  Only Canadian citizens or permanent residents (other than a charity trust) need to fill out box 25. Enter in box 25 the sum of Box 24 and the Taxable Gross-Up Amount

  The taxable gross-up amount equals 38% of the dividends reported in 2019 or later tax years. box 24

  You can find the appropriate gross-up factor for years prior to 2018 in the table labeled "Reporting requirements" at Unclaimed amounts: Dividends or interest.

  If the dividends you reported in box 24 were paid to a corporation, you can ignore box 25.

• Tax credit for qualified dividends, enter amount in Box 26

  Only Canadian citizens or permanent residents (other than a charity trust) need to fill out box 26.

  If filing for a year in 2012 or later, enter 15 in box 26. Box 25 Taxable Amount Plus (or Minus) (0.1998%) (6/11) Additional Gross-Up Amount Per Box 25 Instructions

  Unclaimed Amounts: Dividends or Interest Use the Appropriate Gross-Up Factor from the Table under "Reporting Requirements"

  If the dividends you reported in box 24 were distributed to a corporation, you can ignore box 26.

• Currency Exchange (Box 27)

  If reporting in Canadian dollars, leave this field blank.

  If Canadian dollars are not available for reporting purposes, the foreign currency should be identified using the ISO 4217 codes for the representation of currencies and funds. Put in the correct alphanumeric or numerical three-character codes Use the alphabetic designations if at all possible. For instance:

  Dollar of Australia
  Danish Krone, or DKK
  EURO = Euro of the European Union
  British Pound Sterling
  Dollar of Hong Kong
  Yen (JPY) of Japan
  Dollar of New Zealand
  Dollars, United States of America
  Oth - What Else?

  When submitting documents digitally, you must include the appropriate alphabetic code.

  The following guidelines should be kept in mind when reporting amounts in a foreign currency:

  • On a T5 form, separate all foreign currency transactions. Only one foreign currency should be recorded per slip.
  • Write the name of the foreign currency (like "U.S. S Dollars) in the blank boxes 15 and 16 for the benefit of the recipient
  • T5 slip amounts will be converted to Canadian dollars if box 27 is left blank on the paper T5 information return.
  • No matter what currency your T5 slips are in, you only need to enter a single total income amount when filling out your T5 Summary.
• Transit: Box 28

  In this space, financial institutions and other businesses can enter the eight-character transit code or branch identification code used by the recipient.

• Account of Beneficiary (Box 29)

  If you know the recipient's account or policy number, you can use that here. You can enter up to 12 characters.

• Equity-linked note interest is reported in Box 30.

  Find box 30 in the section labeled "Other information." Enter the total amount of interest that is deemed to accrue under subsection 20(14) in the "Amount" box. Assigning or transferring linked notes is exempt from Section 301(a)(2) of the Act.

  Financial institutions frequently issue linked notes, which are debt obligations with returns tied to the value of one or more underlying assets or indexes over the note's term. For debt obligation transfers (at any time described in paragraph 7000(1)(d) of the Income Tax Regulations) that take place after 2016, this provision applies. Any profit made on the sale is treated as interest earned on the debt obligation for the period beginning before the sale and ending on the sale date.  

  Subsection 20(14) specifies how much deemed interest there should be. Section 2) of the Income Tax Act

• Additional Details

  In the middle of the T5 slip is a section labeled "Other information" where you can enter the appropriate codes and amounts for things like "other income from Canadian sources," "foreign income," "foreign tax paid," "royalties from Canadian sources," "accruals and annuities," and "foreign tax paid." This space can also be used for any other relevant entries.

  Like the top portion of the slip, the boxes are numbered, but they are not assigned. Please enter the appropriate recipient codes below.

  Use a second T5 if more than three codes apply to the same recipient.

• The name and address of the recipient

  Fill out the white space as instructed.

  One T5 slip is sufficient if the investment income is shared between multiple people (such as joint account interest). Two names should be entered if there are two recipients. Enter the company's name if it is a corporation.

  It is the responsibility of those who share an account with another person (or persons) to report their proportionate share of the earnings from that account. You must fill out the T5 form with the names of the investors' designated representatives. The primary representative and secondary representative, if any, should be listed on the T5 form, along with the primary representative's SIN in box 22. Box 23 requires a code of 2 to inform the CRA that the account is held jointly.

  Include the name of the group or establishment if the funds are being donated. The secretary-treasurer or any other authorized signatory's name should not be included. When an investment is paid to a registered holder (such as a broker or trustee of an RRSP), the holder's name should be entered rather than the individual's. If the money is going into a trust, use the trust's legal name rather than the beneficiaries' names.

  In the first line, write the name of the recipient (whether it be a person, corporation, organization, institution, or trust) using the last name first and the usual first and middle initials. Use the usual last name, then the appropriate names and initials, and then "Estate of" or "in Trust for." "

  Fill out the second line with the full name, first name, and initials of the second recipient. Leave this line blank if there is only one recipient.

  Enter the complete mailing address of the recipient as follows:

  Complete the recipient's address on the third, fourth, and fifth lines by including the city and province or territory. Type in the recipient's zip code Some fields may be left blank. Use the two-letter abbreviations found on the list of Provincial and Territorial codes to indicate the province or territory.

• Details about the money sender

  Fill out this section on each T5 form Put in the complete details of the payer here.