If a taxpayer buys a specified foreign property for $700,000 with a $70,000 down payment and finances the rest with a mortgage, does the taxpayer need to file Form T1135 if it is their only foreign property?

Question

Accepted Answer

Yes, the taxpayer must still file Form T1135. Even though the down payment is $70,000, the total cost of the property is $700,000, which exceeds the $100,000 reporting threshold.