Serbinski Accounting Firms

For example, I can buy US stocks within my RRSP account, but at the time they are bought, the US$ is converted into C$ to settle for the purchase price. The same thing will then happen when I sell them. So, I do hold the US security within RRSP but no hedge against exchange rates. Can't invest in se...

I am back again. I have checked with my broker again and with TD waterhouse. The answer is the same. There is very little that they can do with funds within RRSPs per SEC restrictions. These brokers in Canada are not eligible to trade freely in RRSP accounts. Believe me my broker is a good friend as...

Thanks for your very helpful comments. A few things on which I was basing my decision are as follows: 1. My tax rate will be 25+7. I live in a state where there is no state income tax. 2. I will check with TD Waterhouse. The firm I use in Canada is part of Royal Bank of Canada so I believed that wah...

I re-ran the numbers using foreign source income of $75,000 and tax withheld of $25m000 on Form 1116 and it gave me a credit of only $18,000 instead of $25,000. So, the difference was due to using $100,000 as foreign source income vs $75,000, i.e. the gross foreign income vs taxable foreign source i...

True - I will pay high taxes but the exchange rate gain will offset quite a bit of that right now. Our AGI will be in the range of $280,000 to $300,000 for the next 8-10 years before we retire and who knows what the exchange rates will be at that time. And, I feel it is not a bad idea to get the mon...

OK - my effective tax rate is 29.2%. With this rate being > 25%, will I not get the full credit of tax withheld in Canada. My software shows that. How did u get 15%?? I am basing my decision to withdraw on the assumption that I will pay 25% tax in Canada, include the taxable income in US and get the...

Thanks for the quick response. Re FTC, my marginal tax rate in US is 33% so that means I should be able to get the full credit of $25k withheld in Canada. For fun, i tried to see the change in US tax return for 2006, if I had this withdrawal of $100,000 and taxable income of $75,000, with $25,000 ta...

I have a few questions re planned withdrawals from RRSPs. Here is the scenario: 1. We are Canadian citizens with green cards in US since 1994. Have filed elections or 8891s all these years to defer US tax on income on RRSP accounts. 2. Plan to withdraw balance in RRSp accounts - some in 2007 and bal...

How do u check the threads for 8891? May sound like a basic question.

Would it make a difference in the computation of gross and taxable income if RRSP is converted to a RRIF and equal amounts are withdrawn over 10-15 years. Thanks for thr input, in advance.

Thanks for the comments. two questions:

1. Are there other acceptable methods for calculating the taxable portion of the distribution?

2. Will the non-taxable pool of $86k change if I were to get the US citizenship in say 2008?

Here is the scenario. I (Cdn citizen) moved to US in 1994 and am a green card holder. My basis in RRSP account consisted of C$100,000 original contributions + C$40,000 earnings till 1994, date of move to US. Current value of RRSP a/c is C$300,000. No contributions or withdrawals since 1994 after mov...

[quote="nelsona"]The income that is eligible for calculating the credit is the ammount you indicated on line 16b of your return: the taxable amount of your withdrawal, which you determined by filling out form 8891. It should in almosty all cases be almost nothing compared to the withdrawl ...