Serbinski Accounting Firms

Also, I meant to say for the record, I also disagree with many of Ingram's opinions and advice.

The procedures around the TDF form are certainly less clear than IRS forms. There really should be no need for an "opinion." For example, there are no clear instructions on late or backfiling, no good Web information, no phone contact information (or instructions on how to confirm receipt of the ...

There are, however, differing opinions on the need to backfile the TDF forms. See this site: http://mail.abanet.org/scripts/wa.exe?A2=ind0806&L=aba-tax&T=0&F=&S=&P=31144

Also, David Ingram maintains backfiling is needed. See here: http://www.centa.com/CEN-TAPEDE/centapede/Week-of-Mon-20080414 ...

1) Thanks Nelson. It is confusing.

2) FWIW, and I'm certainly no expert, my understanding is that some mutual funds do an excess distribution every X number of years. You might get a clue by looking at past distribution patterns. I believe the 8621 instructions quantify the excess amount.

Nelson, see here:
http://www.advisor.ca/images/other/ae/ae_0803_married.pdf

"Passive income generally includes interest, dividends, rent and capital gains from certain property transactions. The PFIC rules usually apply to Canadian mutual funds or other similar investments as well."

Also here ...

You have similarities to my situation. I came to Canada nearly 20 years ago, became a dual citizen, and now I have no financial ties to the US whatsoever. My advice: do your due diligence and don't trust off-the-cuff responses from anyone who isn't an expert (and, even then,...). Misinformation ...

This issue has rarely arisen on this forum, but wouldn't mikec2 be required to file from 8621 as part of the PFIC rules? My understanding is that most Canadian mutual funds fall into this camp.

Nelson wrote, "besides, there is no reason to use 2555 when living in Canada."

Is this always true? Higher earners who max out their RRSP investments have in the past faced higher US tax, in part because of AMT thresholds. With some AMT relief (for this year only at this point), maybe that is a ...

Just to add something to what Nelson said, for those departing the US during the tax year, the "statement" is 1040 and the "return" is 1040NR (the opposite of what hector wrote).

Concerning filing the amended return, my understanding is that filing an amended return does not affect the original three-year statute of limitations: http://www.taxlawcenter.com/g0076000.htm (presumably, unless you expose 25% of undeclared income or give some other reason to justify a six-year ...

Nelson wrote:
The RP 02-23 statement is the only one that is valid for 2002 and 2003.


Last year, I filed 8891 for 2002 and 2003, though I did so as amended returns. I simply hand-wrote the dates on the top of the forms. I received "received and accepted, no change to your tax" letters from the ...

I feel your pain. I think only one or two other countries tax based on citizenship. In my case, I dutifully filed, but I based my filing on IRS advice from when I first moved to Canada. Over the years, my situation changed dramatically, but I continued to file what I thought were the right forms ...

BTW, I should not have posted the "sleep better" remark. If you backfile correctly (with any citizenship), you should be fine.

Are you also a Canadian citizen? Do you only have Canadian investments? While this won't overcome your obligation, as Nelson spelled out, it could impact the IRS's ability to throw you in "jail," so to speak (or at least help you to sleep better). See the US-Canada tax treaty, Article XXVI A, #8.

My wife turned in her green card last year. Any green card, active or expired, that has not been formally turned in, leaves you liable for worldwide American taxes. Because you held the green card for more than 8 tax years, you're right in saying you'll need to file 8854. From the IRS's perspective ...