Tax · 8 min read

T5008 vs T5 vs T3: Canadian Investment Tax Slips Explained (2026)

Every Canadian investor eventually opens their CRA My Account in March and stares at a wall of T5008, T5, and T3 slips wondering which reports what. This guide breaks down the three main Canadian investment tax slips so you can file confidently and avoid the single biggest mistake filers make with the T5008.

Tax paperwork, a calculator, and a laptop on a desk representing a Canadian investor sorting through T5008, T5, and T3 investment tax slips

Why Canadian investors get three different tax slips

The Canada Revenue Agency (CRA) doesn't use one universal slip for investment income - it splits reporting across three main forms based on where the income came from and who paid it. A single self-directed brokerage account can easily generate all three in the same tax year, plus a fourth summary of transactions. That's why your March mailbox (and your broker's tax documents section) looks so crowded.

Miss one, and the CRA's automated matching software (which cross-references every slip issuers file with your return) will flag the omission and reassess you months later, usually with interest. Enter the same income twice, and you overpay. Both mistakes are common, and both are easy to avoid once you understand what each slip is actually telling you.

The T5: Statement of Investment Income

The T5 reports interest, dividends, and certain foreign income paid to you directly from a corporation - most commonly your bank (interest on savings and GICs) or a Canadian company whose shares you own directly (eligible and non-eligible dividends). Issuers must send T5s by the last day of February following the tax year, though most brokers post them online by mid-February.

The two boxes most Canadian investors care about are Box 24 (actual eligible dividends from Canadian public companies) and Box 25 (the grossed-up taxable amount that flows onto your return). Your brokerage or bank does the gross-up math for you - you just enter the numbers as shown.

The T3: Statement of Trust Income

The T3 reports income paid by a trust, which for most retail investors means an ETF or mutual fund. Almost every Canadian-listed ETF is structured as a mutual fund trust, so the distributions you receive throughout the year - even if they look like dividends on your brokerage statement - are actually trust distributions and get reported on a T3, not a T5.

This is where the timing gets painful: T3 slips are due to you by March 31, one full month after T5s. That's why filing your Canadian return before April is often impossible if you hold any ETFs in a non-registered account - the paperwork simply isn't ready yet.

The return-of-capital trapT3 box 42 (Return of Capital) is not taxable income the year you receive it, but it lowers your Adjusted Cost Base by the same amount. Ignore it and your ACB stays too high, which understates your future capital gain and eventually triggers a CRA reassessment. Track box 42 the year you get it, not the year you sell.

The T5008: Statement of Securities Transactions

The T5008 is fundamentally different from the T5 and T3 - it does not report income. It reports the proceeds of every security you sold during the tax year, one line per disposition. If you sold VFV, XEQT, and Apple shares in the same year, you get three T5008 entries (or one T5008 with three lines, depending on your broker).

Your broker files a copy with the CRA and sends you a copy. That's the confusing part: the CRA has this data, but they use it to cross-check your capital gains reporting, not to calculate the gain for you. You still have to figure out your Adjusted Cost Base yourself.

The single biggest T5008 mistakeMost brokers leave Box 20 (Cost or Book Value) blank or fill it with the book value from their internal system, which is almost never your true ACB after accounting for reinvested distributions and DRIPs. If you copy Box 20 straight into your tax return, you'll usually understate the gain (paying too little now, owing later with interest) or overstate it (paying too much today). Always calculate ACB yourself.

Side-by-side comparison

Feature	T5	T3	T5008
What it reports	Interest and dividends from corporations	Distributions from trusts (ETFs, mutual funds, REITs)	Proceeds from selling securities
Common issuer	Bank, direct stock holdings	ETF or mutual fund provider	Your brokerage
Deadline to issue	Feb 28	Mar 31	Feb 28
Reports actual income?	Yes	Yes	No - reports gross proceeds only
Includes cost base?	Not applicable	Not applicable	Box 20 unreliable - calculate ACB yourself
Auto-imports into Wealthsimple Tax?	Yes	Yes	Yes (but review Box 20)
Applies to registered accounts?	No - TFSA/RRSP/FHSA income is tax-sheltered	No	No

When each slip actually arrives

T5 and T5008 (Feb 28 deadline)

Bank interest and GIC income appears first, usually early February
Direct-holding dividends (Canadian stocks) follow by mid-February
Brokerage T5008 for stock and ETF sales typically posted by Feb 20
Both slips uploaded to your CRA My Account by Mar 5-10 in most years

T3 (Mar 31 deadline)

ETF and mutual fund trusts need to finalize distribution categories first
Return of capital and foreign income breakdowns require year-end audits
Slips typically appear at your broker between Mar 15 and Mar 28
CRA My Account often shows T3s a full week after your broker does

Why waiting is worth itThe T3 delay tempts many Canadians to file early using the T5 and T5008 alone, planning to file an adjustment later if the T3 changes anything. In practice, T3 adjustments are one of the top reasons the CRA reassesses individual returns - always wait for every T3 to arrive before you file if you hold ETFs in a non-registered account.

How to enter each slip in your tax software

The correct filing order

Log into your CRA My Account and confirm every slip issuer has filed (search 'Tax slips' under the Tax Returns section)
Enter T5 income first - it's the simplest and rarely changes after issuance
Enter T3 income next, box by box - watch box 42 (Return of Capital) and record it separately for ACB tracking
Enter T5008 dispositions last, but replace Box 20 with your own ACB calculation
Reconcile: total capital gains on Schedule 3 should tie to your T5008s minus your ACB spreadsheet

Common mistakes to avoid

Assuming your brokerage's Box 20 book value equals your ACB (it usually doesn't)
Filing before all T3s arrive and then forgetting to file a T1-ADJ
Reporting ETF distributions from a T3 as if they were dividends from a T5 (wrong tax treatment)
Ignoring T3 box 42 return of capital until the year you sell (ACB will be wrong)
Reporting T5008 transactions from your TFSA or RRSP as taxable (they're inside a tax-sheltered account)
Missing a T5008 for a partial sale because you thought you only sold from one account

How Wealth Rebalancer helpsWealth Rebalancer tracks every reinvested distribution and DRIP transaction across your Canadian ETF holdings, so when you look at Box 20 on a T5008, you can compare it against a live ACB in seconds and file the correct capital gain without a shoebox of statements.

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Frequently asked questions

Do I need to report a T5008 if it's from my TFSA or RRSP?

No. Transactions inside a TFSA, RRSP, FHSA, or RRIF are tax-sheltered, so any T5008 issued for those accounts is not taxable. Some brokers still generate T5008 lines for internal record-keeping - check the account number on each slip before entering it in your return.

Why is my T5008 Box 20 (Book Value) different from what I actually paid?

Box 20 uses your brokerage's internal book value, which typically doesn't account for reinvested distributions, DRIPs, or trust return-of-capital adjustments. Your true Adjusted Cost Base can differ by thousands of dollars over a multi-year holding period, especially for Canadian ETFs. Always compute ACB yourself and override Box 20 in your tax software.

What happens if I file before all my T3s arrive?

You risk missing income the CRA already knows about, which triggers an automated reassessment 6-12 months later with interest charged from the original filing deadline. If you must file early, wait until March 31 has passed and confirm every issuer has posted their T3 in your CRA My Account before submitting.

Is bank interest reported on a T5 or a T3?

Bank interest on a savings account or GIC is almost always on a T5. Interest paid inside a mutual fund or high-interest savings ETF (like CASH.TO or PSA.TO) flows through as a trust distribution on a T3 instead. Same underlying income, different slip.

How does the T5008 differ from Schedule 3?

The T5008 is issued by your broker and reports only the proceeds of each sale. Schedule 3 is the form you complete on your own tax return where you calculate the actual capital gain or loss by subtracting your ACB from those proceeds. You can't skip Schedule 3 just because you have T5008s - one reports the raw data, the other reports the taxable outcome.

Do I get a T3 or T5 for US-listed stocks I hold in a non-registered account?

Neither directly. Dividends from US-listed stocks are typically reported on a T5 by your Canadian broker in Canadian dollars, along with the 15% US withholding tax deducted (which you can claim as a foreign tax credit). US-listed ETFs held outside a registered account also flow through your broker's T5, though some brokers issue a separate NR4 or T5-equivalent.