Serbinski Accounting Firms

Ok

This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

as I see it

Is "Canada / United States Tax & Accounting" only for cross border ?

@Mach7, Not really, just a couple days ago, I just spoke to a Canadian who has been in US for long enough (with green card). He did not know RRSP/f8891, he did not know FBAR at all. He did not have much in RRSP (less than 5K), and he did send a big check to his mother to help her paying mortgage. I ...

@Mach7, If you have only RRSP issue, you should not enter OVDI anyway, but you will be treated the same even if you join OVDI. It is better for IRS that you did not join OVDI to back file your RRSP and FBAR as your case might have taken IRS resource to process your case and IRS would not get a penny...

@Mach7 No need to worry. As I have said, IRS treated RRSP non-compliance (deferral election and FBAR) very nice inside OVDI. All need is a letter to explain the reason of not make a timely election. This new policy seems to send a consistent message so they treat all the same. Highly unlikely they w...

Seeking relief inside OVDI on RRSP (both back file election tax deferral and offshore FBAR related penalty) are rather painless. It seems to me that IRS just wants to be consistent on its policy for all with RRSP (either those inside OVDI or those just file quietly). Even if later next years, some f...

This has been discussed so many times, you can easily find on this forums. See Nelsona's comments. Here I think what you should do, You need to back file f8891 along with f1040x (even no tax due no refund) to amend return, may be also click on Schedule B (you have offshore accounts). This should be ...

Nelsona is absolutely right.

Just do the amending would save her time/money, and IRS paper work as well.

What if these Canadian currency were in mutual fund which is considered as PFIC by IRS. The MTM gain calculation should have taken care of the exchange value gain/loss ?

I think he is quoting from


http://www.irs.gov/businesses/small/int ... 74,00.html

QA 54

This is IRS new OVDP 2012

I don't think they will haunt those who back file f8891/FBAR quietly --- the worst would be asking you to make a formal request of late election which has been done already in the form. It does make sense to add more work load on IRS themselves. This new procedure is part of OVDI program for those w...

Ture, IRS has finally implemented Nesolna Policy on late filing of RRSP

http://www.irs.gov/newsroom/article/0,, ... 31,00.html

My understanding is that f8891 is a replacement of f3520 for RRSP. No matter you want to defer tax or not -- f8891 has to be filed. So there is no such an issue of f3520. f8891 has been the form for RRSP since 2003. Before that, it was f3520. An RRSP is a foreign trust. However, there is no reportin...

Well, in case of OVDI, that means your RRSP will be in the base of in lieu penalty -- because it had been tax non-compliance.

if you look at f8891, it does mention FBAR. so yes..