What Is a T5 Slip?
The T5 Statement of Investment Income reports investment income earned in taxable accounts.
| Feature | Details |
|---|---|
| Full name | Statement of Investment Income |
| Issued by | Banks, brokerages, corporations |
| Reports | Interest, dividends, and other investment income |
| Due date | Last day of February |
| Threshold | $50 (but report all income even without a slip) |
T5 Box Guide
Interest Income
| Box | Description | Tax Treatment |
|---|---|---|
| 13 | Interest from Canadian sources | Fully taxable |
Interest income includes:
- Savings account interest
- GIC interest
- Bond interest
- Canada Savings Bonds
Report on Line 12100 of your tax return.
Dividend Income
| Box | Description | Tax Treatment |
|---|---|---|
| 10 | Actual eligible dividends | Gross-up 38%, then dividend tax credit |
| 11 | Taxable eligible dividends | Already grossed-up amount |
| 23 | Actual other than eligible dividends | Gross-up 15%, then dividend tax credit |
| 24 | Taxable other than eligible dividends | Already grossed-up amount |
Understanding the Dividend Gross-Up
| Type | Actual Dividend | Gross-Up | Taxable Amount |
|---|---|---|---|
| Eligible | $1,000 | 38% | $1,380 |
| Other than eligible | $1,000 | 15% | $1,150 |
The gross-up increases your income, but you receive a dividend tax credit that more than offsets it at lower tax brackets.
Foreign Income
| Box | Description | Tax Treatment |
|---|---|---|
| 15 | Foreign income | Fully taxable |
| 16 | Foreign tax paid | Claim foreign tax credit |
Other Boxes
| Box | Description |
|---|---|
| 14 | Other income from Canadian sources |
| 17 | Royalties from Canadian sources |
| 18 | Capital gains dividends |
| 25 | Actual dividends eligible for gross-up |
| 26 | Taxable dividends eligible for gross-up |
How Dividends Are Taxed
Eligible Dividends (Box 10/11)
Where they come from: Large public corporations and some private corporations that paid high rates of corporate tax.
| Step | Calculation | Example |
|---|---|---|
| Actual dividend (Box 10) | — | $1,000 |
| Gross-up (38%) | × 1.38 | $1,380 |
| Federal tax (example 20.5%) | — | $283 |
| Federal dividend tax credit | 15.02% of grossed-up | -$207 |
| Net federal tax | — | $76 |
Provincial dividend tax credits provide additional relief.
Other Than Eligible Dividends (Box 23/24)
Where they come from: Small businesses (CCPCs) that paid lower corporate tax rates.
| Step | Calculation | Example |
|---|---|---|
| Actual dividend (Box 23) | — | $1,000 |
| Gross-up (15%) | × 1.15 | $1,150 |
| Federal tax (example 20.5%) | — | $236 |
| Federal dividend tax credit | 9.03% of grossed-up | -$104 |
| Net federal tax | — | $132 |
Which Boxes to Use on Your Tax Return
| What to Report | Use Box |
|---|---|
| Actual dividends received | Box 10 (eligible) or Box 23 (other) |
| Taxable dividends | Box 11 (eligible) or Box 24 (other) |
| Dividend tax credit | Box 12 (eligible) or Box 25 (other) |
Report taxable dividends (Box 11 or 24) on Line 12000.
How to Report T5 Income
| T5 Box | Tax Return Line | Description |
|---|---|---|
| 11 | 12000 | Taxable eligible dividends |
| 12 | 40425 (Schedule 1) | Federal dividend tax credit (eligible) |
| 13 | 12100 | Interest income |
| 15 | 12100 | Foreign income |
| 16 | T2209 | Foreign tax credit |
| 18 | Schedule 3 | Capital gains dividends |
| 24 | 12000 | Taxable other than eligible dividends |
| 25 | 40425 (Schedule 1) | Federal dividend tax credit (other) |
Common T5 Situations
High-Interest Savings Account
| Source | Box | Treatment |
|---|---|---|
| Interest earned | 13 | Report on Line 12100, fully taxable |
Even if your HISA is at 4%, the interest is taxed at your full marginal rate.
Canadian Bank Stocks
| Source | Box | Treatment |
|---|---|---|
| Dividends from big banks | 10/11 | Eligible dividends, favourable tax treatment |
Big bank dividends qualify for the enhanced dividend tax credit.
GIC Interest
| Year | Tax Situation |
|---|---|
| Annual compound | Taxed each year as accrued |
| Maturity | All accumulated interest on final T5 |
Banks may issue T5 slips for accrued interest even if the GIC hasn’t matured.
US Stocks in Taxable Account
| Source | Treatment |
|---|---|
| US dividends | Report as foreign income (Box 15) |
| US withholding tax | Claim foreign tax credit (Box 16) |
The US withholds 15% on dividends to Canadians (with W-8BEN). Claim this as a foreign tax credit.
T5 vs Other Investment Slips
| Slip | What It Reports |
|---|---|
| T5 | Interest, dividends, foreign income (from banks/brokers) |
| T3 | Trust income (mutual funds, ETFs) |
| T5008 | Securities transactions (proceeds of disposition) |
| T4RSP | RRSP withdrawals |
| T4RIF | RRIF withdrawals |
Many investors receive both T5 and T3 slips:
- T5: For interest and dividends from individual stocks
- T3: For distributions from mutual funds and ETFs
No T5 Received?
Under $50 Threshold
Financial institutions aren’t required to issue T5s for amounts under $50. However:
- You must still report the income
- Check your online banking for interest earned
- Add up all accounts at the same institution
Report All Investment Income
Even without a T5:
- Calculate interest earned on all accounts
- Report dividends received from stocks
- Include foreign income and withholding taxes
The CRA has this information from financial institutions and will add it to your return if you miss it.
Tax Planning with T5 Income
Hold Fixed Income in Registered Accounts
| Account Type | Interest Taxation |
|---|---|
| TFSA | Tax-free forever |
| RRSP | Tax-deferred |
| Non-registered | Fully taxable now |
Interest income is taxed at your full marginal rate. Holding GICs and bonds in registered accounts is more tax-efficient.
Canadian Dividends in Taxable Accounts
| Account Type | Dividend Taxation |
|---|---|
| Non-registered | Dividend tax credit reduces tax |
| TFSA | Tax-free, but no credit needed |
| RRSP | No credit; withdrawals taxed as regular income |
Canadian dividends are more tax-efficient in non-registered accounts because of the dividend tax credit.
Foreign Dividends
| Account Type | Consideration |
|---|---|
| RRSP | No US withholding tax (tax treaty) |
| TFSA | 15% US withholding, no recovery |
| Non-registered | 15% withholding, foreign tax credit available |
Hold US dividend stocks in RRSPs when possible to avoid losing the 15% withholding.
Key Deadlines
| Deadline | Description |
|---|---|
| February 28 | Issuers must provide T5 slips |
| March 15 | T5s usually available on CRA My Account |
| April 30 | Tax filing deadline |
Adjustments After Filing
If you receive a corrected T5 after filing:
- Wait until your original assessment is complete
- File a T1-ADJ adjustment request
- Include the corrected T5 information
- The CRA will reassess your return
Related Reading
- T4A Slip Explained: Pension, RESP, and Other Income (2026)
- T3 Slip Explained: Trust Income and How to Report It (2026)
- T5008 Slip Explained: Securities Transactions in Canada (2026)
→ Back to: Complete Canadian Tax Guide