Product | Partnerships | Build | Scale | Entrepreneur (2 Exits) and Intrapreneur (Unbounce, RBC Ventures, Yellow Pages Group) | Investor
Question for my finance contacts who have intimate knowledge in the production of year-end tax forms (Canadian specific) 👇 Is it normal in Canada for financial organizations not to provide the book cost value on a T5008 tax form? Context - My tax accountants are currently finishing my taxes for 2023. I like to test a lot of tools and different services. This results in processing a lot of T-forms every year. One of the robo advisors I had money in, in 2023, released their T5008 form. The T-form came from their financial partner who is the partner. On that form, they provided some book costs but not all. This resulted in a lot of back and forth between them and my tax team and myself as well to get the book value. Bottom line - here is what they eventually told us and the conclusion: "Our custodian has informed us that their system suppresses the book cost for certain securities such as bonds, warrants, options, rights, or accounts where it suspects the book cost to be incorrect. Please note that you will need to calculate the missing book cost amounts before filing your personal taxes. " The Conclusion: 1) my tax accountant did end up calculating book value from my statements 2) yesterday, I pulled all the money from this advisor Am I over reacting? #tax #roboadvisor #investing #canada #fintech
David MacLean
4mo
I'd have a similar reaction
VP Business Development
4moI never use the T5008s If I dispose of an interest yielding investment, I report my interest income (e.g. on a T5 slip). I then do not have to to include this on my T5008 return. I also report any gain/loss/investment income in the Capitals Gains & Losses forms. To me it is simpler to use the Capital Gains & Losses section than the T5008 section, specifically for capital transactions. By doing T5s and using the capital section I ensure that I do not report dispositions in both sections and double pay my taxes due.