Bare trust filing exemption announced for 2024
The rules around bare trust reporting are shifting again. The Canada Revenue Agency yesterday announced that bare trusts will be exempted from filing a T3 Income Tax and Information Return, including Schedule 15 (Beneficial Ownership Information of a Trust) for the 2024 tax year. The exception will be in cases where the CRA directly instructs a trust to file a T3 return.
The first bare trust exemption—issued for the 2023 tax year—was announced at the eleventh hour in late March, much to the chagrin of taxpayers who had scrambled to comply with enhanced trust reporting rules.
Other affected trusts with taxation years ending after December 30th, 2023, will still be required to file a T3 return with Schedule 15 for the 2024 taxation year. T3 returns must be filed within 90 days of a trust’s tax year end, which for most trusts is the end of the calendar year. Trusts that have a December 31st, 2024, tax year-end must file their T3 return by March 31st, 2025.
For more information on trust reporting requirements, contact us today.
Armando Iannuzzi, Co-Managing Partner
