T1135: Foreign income verification statement

Canadian residents, certain types of trusts or partnerships, and even corporations all need to complete form T1135 if, at any time during 2023, they held specified foreign property that cost more than $100,000. Even if you sold some or all of your specified foreign property before the end of the year, you’ll still need to complete the T1135, if you met the $100,000 threshold at any time during 2023.

Note: There are substantial penalties for not completing and filing the T1135 form by the due date. Refer to the Canada Revenue Agency (CRA) website for more information.

Specified foreign property can include:

  • Funds or intangible property (like a patent or copyright) that are held outside of Canada
  • Shares of capital stock issued by a non-resident corporation
  • An interest in a foreign insurance policy and
  • Precious metals, gold certificates, and futures contracts that are held outside of Canada

For the purposes of the T1135, specified foreign property doesn’t include:

  • Foreign investments held in a Canadian mutual fund or
  • Property you used or held exclusively while carrying on your active business
  • Personal-use property such as jewelry, works of art, vacation property, etc.

Note: These lists aren't complete. For a detailed list of the types of foreign property you’ll need to report on your T1135, check out the Canada Revenue Agency (CRA) website.

Follow these steps in H&R Block’s 2023 tax software to report your foreign property on the T1135 page:

  1. On the left navigation menu, under the Credits & deductions tab, click Required.
  2. On the SPECIAL SITUATIONS page, answer Yes to the question At any time in 2023, did you own or hold specified foreign property with a total cost of more than $100,000 CAD?, then click Continue.

  3. When you arrive at the Foreign income verification statement page, enter information for your foreign property into the tax software.

Note: If you’ve filed your 2023 T1135 form and need to make changes to it, you can use the tax software’s ReFILE feature to file an amended T1135.