Foreign income or foreign propertyCanadians are required to report their worldwide income. Through tax treaties with other countries, Canada has access to this information and therefore can help estimate your tax obligations.
In addition, the foreign tax you paid can be used as credits towards your Canadian taxes.
It is mandatory to declare all foreign income and any tax paid on that income.
For more information, please visit the following link:
https://travel.gc.ca/travelling/living-abroad/taxation?_ga=1.224664218.1813978369.1393960439
To report your foreign income or foreign property, please follow the steps below:
1- In the "Left side menu on the Interview tab", please select "Interview setup".
2- On the right-hand side of the screen, go to the "Investment income and expenses" group, and check the box "Foreign income or foreign property (T1135)" and click "Next" at the bottom of the page.
3- Return under the "Left side menu in the Interview tab", select "Foreign income and property".
4- On the right-hand side, you can select the item based on the foreign income or property that applies to your situation and complete the page accordingly.
5 After having made your selection and to convert your foreign currency, enter the "Exchange rate to apply" to convert to Canadian dollars. Then enter the amounts in your foreign currency. The program will automatically convert the amounts to Canadian dollars. The amounts will appear in Canadian dollars in your tax return.You can get the exchange rate for the current year by visiting the following link:
ID: 20191119164216MA.xml
Webpage: KPA360-20191119164216MA.htm