Own Foreign Stocks or ETFs? You may have to File Form T1135
- As already mentioned, real estate owned in foreign countries and held strictly for personal use are not considered “foreign property”.
It is entirely appropriate to levy strict penalties on taxpayers trying to hide income in foreign jurisdictions. It does not seem reasonable to levy stiff penalties on taxpayers who are reporting and paying taxes on investments held in Canadian accounts but inadvertently missed filing paperwork. In fact, the punishment strikes me as cruel and unjust.
NB: This post is of an informational nature and should not be construed as tax advice.