Completing your T2 return – Functional currency

Corporations filing in functional currency should continue to use the standard CRA-produced T2 return and schedules or a CRA-approved commercial software package. You must file Form T1296, Election, or Revocation of an Election, to Report in a Functional Currency, in order to submit a functional currency return.

Line 079

On line 079 of the return, indicate the functional currency used.

Line 840

On line 840 of the return, enter all instalment payments you made for the tax year in Canadian currency.

Fixed amounts

Fixed amounts on the return must be converted to functional currency, using the exchange rate on the first day of the tax year. When determining the business limit reduction on page 4, convert the fixed amounts.