The T5013 is the information return certain partnerships file to report their income and allocate each partner's share, which partners then report on their own returns.
A partnership itself does not pay income tax, its income flows through to the partners. Larger partnerships must file a T5013 Partnership Information Return, reporting total income and issuing a T5013 slip to each partner showing their allocated share of income, losses, and credits.
Each partner then reports their allocated amounts on their own T1 or T2. Filing thresholds depend on the number of partners and the size of the partnership. Partnerships that do not meet the filing threshold still allocate income to partners, but without the formal return.
A three-partner professional practice earns $300,000. It files a T5013 and issues each partner a slip for their $100,000 share, which each partner reports on their personal return.
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