A T3 tax slip, formally known as a Statement of Trust Income Allocations and Designations, is produced whenever a mutual fund held in a non-registered account makes a distribution of taxable income to unitholders. Note that Quebec taxpayers will also receive a Relevé 16.

The T3 is one of the key information slips that mutual fund investors need before filing their taxes. On it you will see the different types of income your funds earned during the year such as interest, dividends and capital gains. Each of these types of income gets reported differently on your tax return. 

Savvy fund investors will remember that most often fund income is reinvested in purchasing more units of the fund. Nevertheless, that income is still taxable. 

Forms are usually sent out in March by the mutual fund companies themselves. You may receive multiple T3s if you have mutual funds with different mutual fund managers or dealers. If you haven’t received yours by the end of March, check the information from those companies. Or call us, we’ll help if we can.