T5008 Currency Conversion

[CoryBK76]

Hi, I did many USD stock trades. 

On Ufile I used the CRA auto-fill function which imported all my stock transactions that my broker gave to the cra via the T5008 form.

I'm wondering for these USD transactions do I need to supply my own exchange rate for each transaction? Or does Ufile do that for me?

On Ufile, for each transaction for the T5008 form, it indicates USD in box 13, but the "exchange rate applicable to the cost or book value" and the "exchange rate applicable to the proceeds of disposition or settlement amount" boxes are empty. Should I be concerned? Or I do need to manually put an exchange rate in those boxes for each of my transactions?

 

[Geo123]

Hello CoryBK76,

UFIle does not apply the foreign exchange rate automatically, you must populate the fields yourself :

Foreign currency13  USD United States, dollar  < - - - HERE
Date of settlement (dd-mm-yyyy)14  05-05-2022
Date of acquisition (dd-mm-yyyy)

If the security had a maturity date,
- select "Yes" if the settlement date was before the maturity date
- else select "No" or leave blank.
 Select the security type
 Type code of securities15  BON Bonds
Quantity of securities16
Identification of securities17
Face amount19 $10,000.00
Cost or book value20 $9,000.00
Exchange rate applicable to the cost or book value  < - - - HERE
Proceeds of disposition or settlement amount21
Exchange rate applicable to the proceeds of disposition or settlement amount < - - - HERE
Outlays and expenses related to the transaction
Exchange rate applicable to the outlays and expenses related to the transaction  < - - - HERE

[CoryBK76]

Hi Geo, thanks for the response.

For the exchange rate, do I have to look up the exchange rate on the day of each transaction?

Or can I use the average 2022 exchange rate for all my transactions?

 

[Geo123]

Hello CoryBK76,

You can use either but should be consistent.

https://www.bankofcanada.ca/rates/exchange/

 >>Daily  https://www.bankofcanada.ca/rates/exchange/daily-exchange-rates-lookup/

 >>Annual https://www.bankofcanada.ca/rates/exchange/annual-average-exchange-rates/

[jam_jarx]

Just to clarify the FX application for T5008 that have been autofilled - 

Does Ufile calculate the C$ amount for Box 20 and 21, using the input FX rate and the US$ autofill amounts? 

Or do I need to overwrite the autofill US$ amounts in Box 20 and Box 21 with C$ results that I manually calculate, and include the FX rate used in the calculation?

 

[Maggie3]

Hello,

If you are entering T5008 slips into your tax return that are not in Canadian dollars, regardless of how they are entered, you must convert the amounts manually to Canadian dollars.

[Jagrut]

6 hours ago, Maggie3 said:

Hello,

If you are entering T5008 slips into your tax return that are not in Canadian dollars, regardless of how they are entered, you must convert the amounts manually to Canadian dollars.

It is simply outrageous. If I enter the foreign amounts after conversion , these amounts would obviously not match T5008 issued by my broker and hence CRA will make adjustments or audit me which involves expenses on retaining a CPA. When your software converts FX dividends on T5/ T3 , why not for T5008? Is there a bug in your software? If that is the case, you should have alerted the users. Why should I waste so much time? I accidentally came across the mistake. When the boxes are provided for FX rate and currency, then it should convert else you should not have provided the boxes. This is so outrageous. This reflects extremely poorly on your dealings with loyal customer like me who has been using the software for last 18 years. 

[Papet]

Good day,

When dealing with a T5008 slip, either manually from a paper document or through the use of CRA Auto-fill,
 - and Box 13 shows a Foreign currency code
all amounts in the T5008 are expressed in that currency.
They must be left as is, i.e. without any conversion.

What is only required then is to enter the Exchange rates.
UFile then does the conversion in CAD correctly when calculating the return.
(Unfortunately I cannot use images, this system limits their total size to 268 Bytes ?????)

Test 1
 - Proceeds = 60,000
 - Exchange rate - 1.40
 - Cost = 50,000
 - Exchange rate - 1.20

 - Calculated proceeds in CAD = 84,000
 - Calculated cost in CAD = 60,000
 - Gain in Schedule 3 = 24,000

Note 1
When an Exchange rate field is left blank, UFile uses a value of 1.000 for the conversion.

Test 2
 - Proceeds = 60,000
 - Exchange rate - blank 
 - Cost = 50,000
 - Exchange rate - blank

 - Calculated proceeds in CAD = 60,000
 - Calculated cost in CAD = 50,000
 - Gain in Schedule 3 = 10,000

 

[Taduro]

On 4/21/2023 at 4:02 AM, Papet said:

Good day,

When dealing with a T5008 slip, either manually from a paper document or through the use of CRA Auto-fill,
 - and Box 13 shows a Foreign currency code
all amounts in the T5008 are expressed in that currency.
They must be left as is, i.e. without any conversion.

What is only required then is to enter the Exchange rates.
UFile then does the conversion in CAD correctly when calculating the return.
(Unfortunately I cannot use images, this system limits their total size to 268 Bytes ?????)

Test 1
 - Proceeds = 60,000
 - Exchange rate - 1.40
 - Cost = 50,000
 - Exchange rate - 1.20

 - Calculated proceeds in CAD = 84,000
 - Calculated cost in CAD = 60,000
 - Gain in Schedule 3 = 24,000

Note 1
When an Exchange rate field is left blank, UFile uses a value of 1.000 for the conversion.

Test 2
 - Proceeds = 60,000
 - Exchange rate - blank 
 - Cost = 50,000
 - Exchange rate - blank

 - Calculated proceeds in CAD = 60,000
 - Calculated cost in CAD = 50,000
 - Gain in Schedule 3 = 10,000

I was able to acquire customized essays online in a few of mouse clicks. I picked a reputable website that provided me with custom writing services catered to my academic requirements. It was simple to place the purchase because best personal statement writing services I gave clear directions, including the topic of the essay, the word count, and any special requirements. The website's dedication to personalization made sure that the finished essay reflected my particular viewpoint and satisfied all the requirements.

If you're on the lookout for comprehensive reviews of essay writing services, I recently found an article that I think will be incredibly useful for you https://www.linkedin.com/pulse/complete-review-cheap-essay-writing-services-digital-marketplace1-czsqf/ provides an in-depth analysis of several popular services. The review covers everything from pricing and quality of work to customer support and turnaround times. It also includes real customer feedback, which gives you a clearer picture of what to expect from each service. Whether you're a student on a tight budget or just looking for the best value for your money, this article is a fantastic resource to help you make an informed decision.

[AnneGant]

Hello hello. I'm new here.