Status Indian - Interest and investment
income
If you are a Status Indian and are exempt from paying taxes,
you must indicate this in the program. This will allow the program
to exempt from tax the income that you earned on a reserve.
Please complete the first step as follows:
1. On the "Left-side menu on the Interview tab", select
"Interview setup".
2. On the screen to your right, check the box for "Tax
return for a Status Indian" and click "Next" at the
bottom of the page.
3. Return to the "Left-side menu on the Interview tab"
and select "Status Indian".
4. On the page that appears on the right entitled "Status
Indian exemptions", to the question "Please confirm that you
are a Status Indian with rights to exempt income", you must
answer "Yes" because you are a Status Indian.
For interest and investment income, follow these steps:
1. You have received a T5 slip and, for Quebec
residents, an RL-3 slip with an amount in Box 13 of the
T5.
2. If you have received a single T5 slip and the interest
income has been deposited with a financial institution located on
the reserve and you have no other taxable income, return to the
"Interview Setup" and check the box "No Income in
2021".
3. However, if you received another T5 slip from and an
institution outside the reserve, enter the amount from Box
13.
4. Return to the "Status Indian exemptions" page and in
the "Exempt income as a Status Indian" section, on the
"Exempt interest income" line, enter the amount earned on a
reserve.
The CRA could verify that all of the following conditions have
been met.
1. You earned interest income from a savings account, term d
eposit or Guaranteed Investment Certificate (GIC).
2. You opened the savings account, or obtained the term
deposit or GIC, at a financial institution located on a
reserve.
3. The financial institution is required to pay you interest
income at a location of the financial institution on a
reserve.
4. If your investment is a term deposit or GIC, the interest
rate is fixed or may be calculated at the time of the
acquisition.
We suggest you visit the CRA's website to find more
information on Status Indians, by clicking on the following
link:
https://www.canada.ca/en/revenue-agency/services/aboriginal-peoples/indians.html
For residents of Quebec, consult the following link:
https://www.revenuquebec.ca/en/citizens/your-situation/indians/income-tax/
ID: 20201209162406NA.xml
Webpage: KPA310-20201209162406NA.htm
