Boxes 22, 23, and 24 – Securities received on settlement (if applicable)
Disclaimer
We do not guarantee the accuracy of this copy of the CRA website.
Scraped Page Content
Boxes 22, 23, and 24 – Securities received on settlement (if applicable)
In some securities transactions, securities are received as proceeds of disposition. This usually happens in exchange or conversion transactions. You should complete boxes 22, 23, and 24 only when you cannot readily determine the value of the securities received on settlement. Do not report any monetary values in these boxes.
Report, in Box 21 – Proceeds of disposition or settlement amount, any part of the proceeds that is credited in money.
Note
Some exchanges of securities are exempt from the reporting requirement (see Who has to file a T5008 information return?).
Certain securities can be redeemed in return for another type of security. For example, bonds may be redeemed for gold. However, gold is often converted, at the fair market value (FMV), and the proceeds (see What are proceeds?) are credited to the recipient. In this case, you have to report these transactions in Box 21 – Proceeds of disposition or settlement amount.
Use boxes 22, 23, and 24 to report the transaction only if you cannot reasonably determine the FMV of the securities obtained on conversion.
The instructions for completing boxes 22, 23, and 24 are the same as those for boxes 15, 16, and 17.
Example
XYZ Corporation redeems a bond for 20 ounces of gold. If you could not determine the value of the gold, you would complete boxes 22, 23, and 24 as follows:
Box 22 MET
Box 23 20 OZ
Box 24 GOLD
Report sections 85 and 85.1 transactions in these boxes as follows:
Box 21 Leave this box blank for these transactions.
Box 22 Enter "SHS."
Box 23 Enter the number of shares, units, or quantity of any other property or securities received as part of the proceeds of disposition.
Box 24 Enter "Section 85" or "Section 85.1," as applicable.
- Date modified:
- 2018-01-11