Good Morning
I need to review capital dividends from accounting side (s100) and for T2. does anyone have good resource for me to review. I will look at s89 and T2054
thanks
On the accounting side, the capital dividend is presented the same as any normal cash dividend. Depending on the type of report you’re issuing or your personal preferences, you may have to provide more information. I’m not aware of any resource but be careful about calculating the balance of the CDA. You will need the T2054, a calculation of the current CDA, and a copy of a director’s resolution authorizing the dividend.
The electronic filing process of the election is a little awkward (presumably because it is still new & needs a little polishing on the CRA end of things) but the CDA election is one of the “special elections” that can be filed electronically through TaxCycle software.
I have used the SERs - Special Elections & returns Transmission Service a few times now to submit a T2054 package and it seems to work ok… at least better than mailing everything in. The SERs Support allows you to upload the resolutions and other supporting documents with your package.
Great - thank you for the advice.