My client ( French national, Canadian PR) has a French Investment account called a PEL ( plan epargne logement). For this type of account, the money is locked in for a period of several years. At the end of each year, the interest earned is added to the total sum and everything is locked in until maturity. Access to total funds is only possible at end of term. In France, the interest earned in this account is tax sheltered. ( I assume the CRA doesn’t care and that we still have to report it as investment income here?)
So my main question is whether I report the yearly interest even tho it’s locked in and not technically paid out to her yet. Side question is just hoping to get confirmation that this tax sheltered account in France still has to be reported here in Canada.
Thanks all! Stay Safe