---
title: "T1135 Threshold Doubles to $200,000 for Foreign Property"
url: https://www.everstonecpa.com/tax-update/t1135-threshold-200000
description: "Budget 2026 raises the T1135 foreign property reporting threshold from $100,000 to $200,000 and simplified reporting to $500,000. Check if you file."
type: tax-update
updated: 2026-11-06
summary: "Budget 2026 proposes raising the Form T1135 threshold from $100,000 to $200,000 of total cost of specified foreign property, and the simplified-reporting threshold from $250,000 to $500,000, for tax years ending after 2026. The false-statement penalty minimum would rise from $24,000 to $45,000."
faq_count: 2
publisher: EverStone CPA Inc., a Chartered Professional Accountant firm registered with CPA British Columbia and CPA Alberta
service_area: British Columbia, Alberta, Ontario and Manitoba
language: en-CA
contact: info@everstonecpa.com · https://www.everstonecpa.com/book-online
---

[Home](https://www.everstonecpa.com/) [Tax updates](https://www.everstonecpa.com/tax-updates) [Budget 2026](https://www.everstonecpa.com/tax-update/federal-budget-2026) Form T1135

Foreign property

# Form T1135: the reporting threshold doubles to $200,000

By EverStone CPA · Updated November 2026

Fewer people will need to file Form T1135, the CRA’s foreign property report, and more will qualify for the short version.

**Quick answer:** Budget 2026 proposes raising the Form T1135 threshold from $100,000 to $200,000 of total cost of specified foreign property, and the simplified-reporting threshold from $250,000 to $500,000, for tax years ending after 2026. The false-statement penalty minimum would rise from $24,000 to $45,000.

**Hold investments or property outside Canada?** We check whether you must file T1135 and prepare it with your return. [Get My Fixed Quote](https://www.everstonecpa.com/book-online?service=personal#enquiry-form)

**Announced, not yet law** · Tax years ending after 2026 (proposed)
This has been announced but is not yet law. It can change or be withdrawn.

T1135 thresholds

| | Now | Proposed |

| Must file T1135 | Cost over $100,000 | Cost over $200,000 |

| Simplified reporting allowed | Up to $250,000 | Up to $500,000 |

## Example

Arjun owns US shares that cost $150,000. Today he must file T1135. Under the proposal he would not, because $150,000 is under $200,000. The threshold is based on what the property cost, not its current value.

**What to do.** For your 2026 return the $100,000 threshold still applies. More detail: [Form T1135 explained](https://www.everstonecpa.com/forms/t1135).

Whether this applies to you depends on your year-end and structure; [ask about your own situation](https://www.everstonecpa.com/quick-question) and a CPA replies by email, usually the same business day, free.

## Common questions

**What is the new T1135 threshold?**

$200,000 of total cost, proposed for tax years ending after 2026.

**Do I still file T1135 for 2026?**

Yes, if your foreign property cost more than $100,000 at any time in 2026.

## Where this comes from

Budget 2026 was tabled on 5 November 2026. Figures on this page are from:

- [BLG — Federal Budget 2026: tax measures](https://www.blg.com/en/insights/2026/11/federal-budget-2026-sovereignty-strategic-investment-and-tax-simplification)

- [RBC Wealth Management — Federal budget 2026 overview](https://www.rbcwealthmanagement.com/en-ca/insights/federal-budget-2026-an-overview-of-key-measures-that-may-impact-you)

- [Thor — 2026 Federal Budget: key tax measures](https://www.thor.ca/blog/2026/11/2026-federal-budget-key-tax-measures/)

**General information, not tax advice.** Budget measures are proposals until enacted and can change. Before deciding anything, [send an enquiry](https://www.everstonecpa.com/book-online?service=personal#enquiry-form).

[Federal Budget 2026: what changes for small business owners](https://www.everstonecpa.com/tax-update/federal-budget-2026)
[CRA penalties are going up: what Budget 2026 proposes](https://www.everstonecpa.com/tax-update/cra-penalties-increase)
[Canada Growth Incentive: up to $15 million of tax-free gains](https://www.everstonecpa.com/tax-update/canada-growth-incentive)

---
Source: https://www.everstonecpa.com/tax-update/t1135-threshold-200000
Prices: https://www.everstonecpa.com/pricing · Contact: info@everstonecpa.com · https://www.everstonecpa.com/book-online