The Bank of Canada daily closing rate is the standard reference for converting USD trades to CAD for Canadian tax purposes. Here is how to find the right rate, handle non-business days, and avoid the most common conversion errors.
T5008 Box 20 is the cost or book value your broker recorded. Box 21 is proceeds of disposition. Neither field is the same as your legal adjusted cost base — here is how to read the slip correctly.
How to track adjusted cost base in a spreadsheet, what columns you need, where Excel and Google Sheets fall short, and when Canadian investors should switch to dedicated ACB software.
Your broker's book value may not reflect your complete adjusted cost base. Learn why broker cost figures differ from your legal ACB and how Canadian investors can reconcile their records.
Step-by-step guide to calculating adjusted cost base for Canadian stocks and ETFs. Includes the ACB formula, worked examples for stocks and ETFs, partial sales, and common mistakes.
Your broker's T5008 cost figure is based only on what they can see — and that is almost never your complete ACB. Here is exactly when the number is wrong and what to use instead.
Every DRIP share purchase adds to your adjusted cost base. Miss even a few years of DRIP transactions and your ACB is understated — which means you'll report more capital gain than you owe.
Return of capital from Canadian ETFs reduces your adjusted cost base every year it's paid. If you don't track ROC adjustments, your capital gain at sale will be larger than expected.
Canadian tax law requires one pooled ACB for identical securities across all your taxable accounts — not one per brokerage. Here's what that means in practice.