I’m wondering if it would be possible to have Tax Cycle allow us to file a T1135 with the functional currency election, for individuals and trusts? Right now there is a message below the functional currency line that indicates only corporations are eligible for the functional currency election under Section 261(3)(a) of the ITA. I had to look this up, because to be honest I didn’t even know this was in the Act. And it turns out Tax Cycle is right!
What I can say though, from past experience, is that CRA is actually accepting T1135s filed by individuals and trusts using the functional currency election, so perhaps they have an internal administrative policy on the matter. Even on the T1135 instructions it makes no mention of the election only being available to corporations.
Is there any chance you could allow input into that box in a future patch (maybe with a review warning/caveat that the Act states only corporations are technically allowed to elect)?
Thanks for considering.