T1135: simplified or detailed reporting method?

[ted suu]

In the T1135 (Foreign Income Verification Statement) it stipulates:

If the total cost of all specified foreign property held at any time during the year exceeds $100,000 but was less than $250,000, you are required to complete either Part A (simplified reporting method or Part B (detailed reporting method);

If the total cost of all specified foreign property held at any time during the year was $250,000 or more, you are required to complete Part B, which is the detailed reporting method. 

For the 2018 tax year I chose to report using the simplified reporting method since I have, what I thought in real terms, a total cost of more than $100,000 but less than $250,000 in foreign property.

For the sake of simplicity I shall use round figures in this hypothetical situation. Let's say I have 4 banks (Banks A, B, C and D) abroad, and I intend to transfer, $80,000 funds from Bank A to Bank B and then to Bank C (I have $0 funds in Bank B and C at the start of the year). Bank D has $22,000 at the start of the year. 

My total cost of foreign property abroad for the year, as I understand it in this scenario, is $102,000 which is $80,000 (transferred from A to B to C) plus $22,000 in Bank D. $102,000 which is just over $100,000, but under $250,000.

But if I were to use the detailed reporting method I would have to report in the "Maximum funds held during the year" column that I have $80,000 in Bank A, $80,000 in Bank B, $80,000 in Bank C, and $22,000 in Bank D. It appears as if I have $262,000 in the 4 banks which is clearly not the case. But according to the way the data is laid out in the detailed reporting method, I have more than $250,000 abroad even though my funds abroad throughout the year is essentially $102,000 as explained in the first paragraph.

1. Given the above situation, am I correct to have submitted the simplified reporting method  or should I amend my T1135 to the detailed reporting method & refile?
2. I was NOT late in filing my T1135 back in 2019 for the 2018 tax year, but is there a penalty for refiling a T1135 amendment?  

Thank you for taking the time to consider my situation. I'd gratefully appreciate any help in this.

[TurboTaxHeba]

Both simplified and detailed forms should give you the same end results but in two different methods. In the Simplified Method, you only report to the total cost in all funds held in different bank accounts across the world. Then you list the country codes at the bottom of the form. So your $102,000 is the correct calculation.

For the Detailed Method, you have to list the accounts separately, list the maximum fund held during the year, and the fund held at the end of the year. The total it is asking for is the fund at the end of the year ( which will be a total of $102,000), and the gross income if you withdraw any funds. 

This is a link to CRA T1135 form and FAQ

https://www.canada.ca/en/revenue-agency/services/forms-publications/forms/t1135.html

I hope this was helpful