Guide to the T1161 List of Properties by an Emigrant of

What Is the T1161 Form?

Quick tip: download the official T1161 first, then fill it while following this guide: Download T1161 form (official CRA).

The T1161 List of Properties by an Emigrant of Canada is a CRA form you must file when you leave Canada and become a non-resident for tax purposes. It requires you to list all properties you own that have a total fair market value (FMV) of more than $25,000 at the time you emigrate.

This form is part of Canada's "departure tax" system. When you leave Canada, the CRA considers you to have "disposed of" most of your assets at their fair market value — even if you didn't actually sell them. This is called a deemed disposition, and it can trigger capital gains tax.

Who Must File the T1161?

You must file the T1161 if:

• You emigrated from Canada (ceased to be a Canadian resident for tax purposes) during the tax year
• The total fair market value of all your properties was more than $25,000 on the date you left

This applies to newcomers who came to Canada, established residency, and then decided to leave — whether returning to their home country or moving to a third country.

What Counts as "Property" for the T1161?

The definition of property for this form is very broad. It includes:

• Real estate — houses, condos, land (both in Canada and abroad)
• Investments — stocks, bonds, mutual funds, ETFs, cryptocurrency
• Business interests — shares in private corporations, partnership interests
• Personal property worth over $10,000 — art, jewelry, vehicles, collectibles
• RRSPs, RRIFs, TFSAs — registered accounts (though these have special treatment)
• Foreign property — assets you own outside Canada

What You Do NOT Need to Report

Certain properties are excluded from the T1161:

• Cash (Canadian or foreign currency)
• Pension rights under registered pension plans
• Property you owned before you became a Canadian resident (with some exceptions)
• Personal-use property worth less than $10,000
• Canadian real property (listed separately — it is exempt from deemed disposition but still reported)

Step-by-Step: Completing the T1161

Step 1: Determine Your Emigration Date

Your emigration date is the day you sever your residential ties with Canada. This is not just the day you fly out. The CRA looks at factors like:

• Did you sell or rent out your Canadian home?
• Did your spouse and dependants leave Canada?
• Did you cancel your Canadian health insurance?
• Did you close Canadian bank accounts?

If you are unsure of your emigration date, you can request a determination from the CRA using Form NR73.

Step 2: List Each Property

For each property, you must provide:

1. Description of the property — be specific (e.g., "100 shares of Royal Bank of Canada common stock" or "2019 BMW X5")
2. Fair market value (FMV) on your emigration date — what the property would sell for on the open market
3. Adjusted cost base (ACB) — what you originally paid for it, plus any additions to cost

Group similar investments if they are in the same account. For example, you can list "TD Direct Investing non-registered account — various Canadian equities" and provide the total FMV and ACB.

Step 3: Determine Fair Market Value

Getting the FMV right is critical. Here are ways to determine it:

• Publicly traded stocks: Use the closing price on your emigration date
• Mutual funds/ETFs: Use the net asset value (NAV) on your emigration date
• Real estate: Get a professional appraisal or use a recent comparable sale
• Private company shares: You may need a business valuator
• Vehicles: Use Canadian Black Book or similar valuation guides

Step 4: File with Your Final Canadian Tax Return

The T1161 is filed along with your T1 General tax return for the year you emigrated. On your T1 return, you report income earned from January 1 to your emigration date. The T1161 is attached as a supporting schedule.

If you emigrated in 2025, you would file the T1161 with your 2025 T1 return, due by April 30, 2026.

The Deemed Disposition Rule

When you emigrate, the CRA treats you as having sold most of your properties at fair market value. This means:

• If the FMV is higher than your ACB, you have a capital gain
• 50% of the capital gain is added to your income and taxed at your marginal rate
• If the FMV is lower than your ACB, you have a capital loss that can offset other gains

Important exceptions: Canadian real property (like your home or rental properties in Canada) is not subject to deemed disposition. You will deal with these when you actually sell them later.

Deferring the Tax

You can elect to defer payment of the departure tax by posting security with the CRA. File Form T1244 to make this election. This doesn't eliminate the tax — it just delays when you have to pay it.

Penalties for Not Filing

The penalty for failing to file the T1161 on time is steep:

• $25 per day for each day the form is late, with a minimum penalty of $100 and a maximum of $2,500
• If you knowingly fail to file or make false statements, the penalty can be up to $12,000

Given these penalties, it is worth filing even if you are unsure about exact property values. Estimate conservatively and file on time.

Common Mistakes to Avoid

• Forgetting foreign assets: If you owned property in your home country before coming to Canada, and its value increased while you were a Canadian resident, that gain may be taxable on departure.
• Ignoring the $25,000 threshold: This is total FMV of ALL properties combined. Even if no single property exceeds $25,000, you still must file if the total does.
• Not considering your TFSA and RRSP: These are reported on the T1161 but have special rules. RRSPs are generally not deemed disposed. TFSAs lose their tax-free status when you become a non-resident.
• Filing late: The penalties are real. File on time even if you need to estimate values.

Tips for Newcomers Leaving Canada

If you arrived in Canada as a newcomer and are now leaving, keep these points in mind:

• Your ACB for properties you brought into Canada is generally the FMV on the date you became a Canadian resident. This is your "immigration date" cost base.
• Only the gain that occurred while you were a Canadian resident is taxable. This protects you from being taxed on gains that happened before you came to Canada.
• File Form T1243 (Deemed Disposition of Property by an Emigrant) along with the T1161 to calculate your actual capital gains tax.
• Consider getting professional tax advice — the interaction of immigration and emigration rules can be complex.

Where to Get the Form

Download the T1161 from the CRA website at canada.ca/en/revenue-agency/services/forms-publications/forms/t1161.html. You can also call the CRA at 1-800-959-8281 to request a copy by mail.

Leaving Canada doesn't mean leaving your tax obligations behind. Filing the T1161 correctly ensures you meet your legal requirements and avoid unnecessary penalties.

Download This Form

Before you submit anything, download the latest official file here: Download T1161 form (official CRA). Always use the latest version.

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Official external resources

• Download T1161 form (official CRA)
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• CRA forms and publications
• IRCC processing times

Understanding Tax Residency: A Foundation for Both Emigrants and Newcomers

While the T1161 form specifically addresses the tax obligations of those leaving Canada, understanding the concept of "tax residency" is equally critical for newcomers establishing themselves here. Your tax residency status determines which country has the right to tax your worldwide income. For an emigrant, ceasing Canadian tax residency is the trigger for forms like the T1161. For a newcomer, establishing Canadian tax residency marks the beginning of their tax journey in Canada.

The Canada Revenue Agency (C

The Critical Importance of Accurate T1161 Filing and Potential Consequences

Filing the T1161 form correctly and on time is not just a formality; it's a crucial step in defining your tax relationship with Canada after emigration. The Canada Revenue Agency (CRA) relies on this declaration to establish your new tax status and assess any departure tax liabilities. Failing to file this form, or providing inaccurate or incomplete information, can lead to significant penalties and future complications. The CRA imposes substantial penalties for non-compliance, which can include daily penalties for late filing, especially if the omission was intentional or due to gross negligence. These penalties can quickly accumulate, adding financial burden to your emigration process. Furthermore, an improperly filed T1161 can complicate any future dealings you might have with Canadian tax authorities, such as if you decide to return to Canada, or if you continue to have Canadian-sourced income. It's essential to understand that the CRA has a long reach, and non-compliance can affect your financial standing for years. For detailed information on CRA penalties, you can consult the official Canada.ca page on Prescribed Interest Rates and Penalties. To navigate these complex tax requirements, consider using WelcomeAide's Tax Guide for general Canadian tax information, or connect with our AI Navigator for personalized guidance on your specific situation.

Beyond T1161: Other Post-Emigration Tax and Financial Considerations

While the T1161 form addresses your properties, emigration from Canada involves a broader set of tax implications that extend beyond this single declaration. A key concept for emigrants is "deemed disposition," where the CRA treats most of your capital properties as if you sold them at fair market value just before you ceased to be a resident. This can trigger a departure tax on any accrued capital gains, even if you haven't actually sold the assets. Understanding these rules is vital to avoid unexpected tax bills. If you retain any income-generating assets or sources in Canada, such as rental properties, pensions, or investments, you will likely become a non-resident taxpayer. This means you'll still have tax obligations to Canada on that specific Canadian-sourced income, often subject to withholding taxes or specific non-resident tax returns. It's crucial to differentiate between your tax residency and your immigration status. For comprehensive details on tax obligations for non-residents, refer to the official Canada.ca page on Non-residents of Canada. Preparing for these financial changes is paramount. WelcomeAide's Settlement Checklist, while primarily for newcomers *to* Canada, can offer insights into the types of financial planning steps required when establishing or changing residency. Additionally, our Benefits Finder

Related Resources

WelcomeAide Tools

• WelcomeAide Blog — browse all newcomer guides and updates
• Tax Guide — understand taxes, filing deadlines, and common credits
• Banking Guide — compare newcomer banking options and account types
• Cost Calculator — estimate monthly living costs in Canada
• Benefits Guide — find federal and provincial financial supports

Related Guides

• How to Fill Out the T1159 Income Tax Return for Artists
• T1243 Form Guide (2026): Deemed Disposition When Leaving
• Guide to the T1 Adjustment Request (T1-ADJ): How to Fix

Official Government Sources

• Canada Revenue Agency (CRA)
• Government of Canada Taxes
• File an Income Tax Return
• Financial Consumer Agency of Canada
• Government of Canada Finance Services
• GST/HST for Businesses

can help you understand which Canadian benefits you may no longer be eligible for as a non-resident.