Unable to enter 0% as my percentage of investment income reported on T5 in joint account

Forum|Forum|2 years ago
March 16, 2024
3 replies
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I have a joint account with my wife. When the account was opened, the bank listed my name first on the application, which is now interpreted as being the "primary owner" of the account for the purpose of reporting. So all the slips that were reported to CRA are assocated with my SIN and Turbotax imports these slips for me. So far so good.

The problem is that all the investments in this account were funded 100% by money my wife contributed from her inheritance. So based on CRA, all the income should be attributed to my wife, not me.

But Turbotax does not allow me to enter 0% as my percentage on the T5 slip screen. Any time I do this and save, the percenrage resets to 100%. If I enter 0.01% the slip saves correctly ... but this is not accurate split of the income attribution (although is close).

How can I enter 0% and have it stick?

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TurboTaxSusan

If your wife is going to claim 100% of the T5, then only put the T5 on her return.

taxmonkey468Author

Well, CRA associates all those T3/T5/T5008 slips with my SIN only, so when Turbotax imports all the slips, it associates these with me. So if you suggest reporting these on my wife's return, how can I transfer/ move the slips to her in Turbotax?

Or are you suggesting I delete all those imported slips under me, and manually re-enter them all for my wife?

TurboTaxSusan

Yes, you would have to delete all the under yourself, and manually re-enter them all for your wife, because you can't put in a 0% for yourself. And you can't import them to your wife's return if they are only in your CRA account.

Another possibility is to talk to the financial institution, see if they can switch her to the primary, and reissue the slips with her SIN.

wendy43

This is what I did for 2022, did not report it on my end. It's reported on the other party who helds 100%.

Guess what..government contacted me said I didn't report the amount. it happens not just the T5 but another income (can't remember which form now). government said I owe them taxes. I am too busy to deal with it , I need to pay that "owing" b4 the deadline then I need to contact the government after filing my 2023.

Turbo tax should fix this to allow putting in zero percent so the government audit can see it's reported somewhere else. I suspect this will come back to me again some time this year or next year.

gump

I would hesitate deleting a T5 from your tax return if the primary SIN is yours. I always split my parents' T5 slips but when I did, CRA asked why my Dad wasn't reporting the full amount in the T5s/T3s (although a 2 minute check into my Mum's same year return would show the combined full amount).

I haven't responded to the CRA and now my 93 year old Dad got re-assessed. Argh.

GHarpe

Thank you for this update. Your feedback is informative and appreciated.

Thank you for choosing TurboTax.

TurboTaxBrenda

When you enter your T5, did you enter on the bottom of it that your wife was reporting 100%?

taxmonkey468Author

When I originally reported this issue, the problem was that the financial institution reported all slips to CRA only for the primary account holder (which was me), even though my wife contributed 100% of the funds (inheritance).

TurboTax then imported the slips (T5, T3, T5008) from my CRA account, and associated it with my return, but did not allow me to enter 0% for my attribution. The slips did not show up under my wife's return, and there is no way to "re-assign" these to the spouse return in TurboTax.

So I had to delete all these imported slips from my return, and manually re-enter them on my wife's return. After that TurboTax defaulted the income attribution to 100% (for my wife) so I did not have to change anything.

But I fully expect CRA to re-assess my 2023 return and ask me to explain/ prove that what I reported is in fact correct and I am not playing games with income splitting.

With the paired joint accounts I described in the prior post you avoid all the issues (the "bug" in TurboTax as well as raising flags with CRA).