How to fill out a T5 slip for dividends (2026): owner-managers

Tax forms › T5 slip · Last reviewed October 25, 2026 · General information, not tax advice

T5 slip at a glance

What it reports	Dividends, interest and other investment income paid to Canadian residents
For owner-managers	Dividends your corporation paid you or your family in 2026
Threshold	No slip needed if the year's total to one recipient is under $50
Due for 2026	Mon, Mar 1, 2027, with the T5 Summary
Electronic filing	Required for more than 5 slips; Internet filing opens Jan 11, 2027

What T5 slip is

A corporation that pays dividends to resident shareholders files T5 slips and a T5 Summary. For an owner-managed company, that usually means one or two slips a year, for the dividends paid to the owner and perhaps a spouse.

The slip shows the actual dividend and, for individuals, a grossed-up taxable amount and a federal dividend tax credit. The gross-up and credit account for corporate tax already paid, so the shareholder is not taxed twice in full.

There are two kinds of dividends. Other-than-eligible dividends, typical for a small Canadian-controlled private corporation paying out income taxed at the small business rate, go in boxes 10 to 12. Eligible dividends, which the corporation must designate, go in boxes 24 to 26.

Who has to file

Corporations that paid or credited dividends to residents of Canada in 2026.
Anyone paying interest or other investment income to residents that the T5 guide covers.
No slip is needed for a recipient whose total for the year is under $50. Do not file a nil or blank T5 return.
Dividends paid to non-residents go on an NR4 instead.

Due dates

What	Due
T5 slips and T5 Summary for 2026	Mon, Mar 1, 2027 (Feb 28 is a Sunday)
Recipient copies	By the same date

Report dividends in the year they were paid or credited. If the dividend was declared in December 2026 but paid in January 2027, it goes on a 2027 slip.

Penalties for filing late or wrong

Late filing, under the CRA's reduced administrative policy, which covers T5: $100 for 1 to 5 slips; $5 a day for 6 to 10 (maximum $500); $10 a day for 11 to 50 (maximum $1,000); minimum $100, up to 100 days.
Paper filing when more than 5 slips had to be filed electronically: $125 for 6 to 50 slips.
Failing to make a reasonable effort to get a recipient's SIN: $100 per failure.

T5 slip boxes an owner-managed corporation uses

Box	What goes there	How to work it out
Payer	Corporation's name, address and 15-character account number (the RZ program account)	Company settings and CRA registration
Recipient	Shareholder's name, address and SIN, and box 23 recipient type (1 for an individual)	Shareholder records
10	Actual amount of dividends other than eligible dividends	The dividend actually paid
11	Taxable amount of those dividends (individuals only)	Box 10 × 1.15
12	Dividend tax credit for those dividends (individuals only)	Box 11 × 9.0301%
13	Interest from Canadian sources	Interest the corporation paid the recipient, if any
24	Actual amount of eligible dividends	Only dividends the corporation designated as eligible
25	Taxable amount of eligible dividends	Box 24 × 1.38
26	Dividend tax credit for eligible dividends	Box 25 × 15.0198%
Summary	Line 31 number of slips; lines 10 to 26 the matching box totals; lines 41 and 42 contact	Add up the slips

Example: a $10,000 other-than-eligible dividend to the owner shows $10,000.00 in box 10, $11,500.00 in box 11 and $1,038.46 in box 12. A $10,000 eligible dividend shows $13,800.00 in box 25 and $2,072.73 in box 26. Leave boxes 11, 12, 25 and 26 blank when the recipient is a corporation.

Common mistakes

Paying the owner dividends during the year and forgetting the T5 in February.
Putting a small business corporation's dividends in the eligible boxes without designating them as eligible.
Reporting a dividend in the year it was declared instead of the year it was paid.
Filling the gross-up and credit boxes for a corporate shareholder.
Filing a summary with no slips, or a nil T5 return.

How to file T5 slip

List the dividends paid. From the corporation's books and minutes, list each dividend paid in 2026, to whom, and whether it was eligible or other than eligible.
Work out each slip. Enter the actual amount, then the taxable amount and the dividend tax credit for individual shareholders.
Complete the T5 Summary. Total the boxes across all slips, enter the number of slips on line 31 and the contact on lines 41 and 42.
File and distribute. File through Internet file transfer or Web Forms (or paper for 5 slips or fewer) and give each shareholder their copy by March 1, 2027.

How AcboBooks fills it in

AcboBooks 0.2.1 does not prepare T5 slips. It records the dividend itself: write the cheque or transfer to the shareholder and post it to a dividends account under equity, and the year's total for that account and payee is the figure for box 10 or box 24.

What it leaves to you

The gross-up, the dividend tax credit and the eligible or other-than-eligible designation are not calculated. Your accountant usually prepares the T5 with the corporation's T2 return.

Described as of AcboBooks 0.2.1. See AcboBooks for Canadian businesses

Questions

Do I need to file a T5 if I paid myself dividends?

Yes. A corporation that pays dividends to a resident shareholder files a T5 slip and T5 Summary for the year, unless the total paid to that person was under $50.

When are 2026 T5 slips due?

By the last day of February. February 28, 2027 is a Sunday, so slips filed by Monday, March 1, 2027 are on time.

What are the 2026 gross-up rates?

15% for other-than-eligible dividends, with a federal dividend tax credit of 9.0301% of the taxable amount, and 38% for eligible dividends, with a credit of 15.0198%.

Are my dividends eligible or other than eligible?

Dividends from a small Canadian-controlled private corporation's income taxed at the small business rate are usually other than eligible. A dividend is eligible only if the corporation designates it, and only to the extent it has the balance to support it. Ask your accountant.

Can I file my T5 on paper?

Only if you file 5 slips or fewer. Above that the CRA requires electronic filing.

Sources

Checked against these sources on October 25, 2026. Dates assume a calendar year and apply the next-business-day rule for weekends and holidays.

General information, not tax or legal advice. Forms, thresholds and dates change; confirm with the CRA and Service Canada or a tax professional before you file.

How to fill out a T5 slip for dividends