Search found 19 matches

by quickcanuck
Sat Jun 07, 2014 12:59 pm
Forum: Canada / United States Tax & Accounting
Topic: Cashing out RRSP
Replies: 14
Views: 7079

I am a Canadian citizen and resident - one of the accidental Americans.
by quickcanuck
Fri Jun 06, 2014 7:12 pm
Forum: Canada / United States Tax & Accounting
Topic: Cashing out RRSP
Replies: 14
Views: 7079

I have previously submitted tax returns and 8891 forms for an RRSP that was a simple savings account, and I have declared the earned interest each year on the 8891 and on Schedule B, and checked off "no" on question 6a regarding deferral. I cashed in the RRSP last year and paid 10% Canadia...
by quickcanuck
Tue Apr 23, 2013 1:48 pm
Forum: Canada / United States Tax & Accounting
Topic: RESP tranferred to grandparents
Replies: 18
Views: 10358

RESP tranferred to grandparents

After filing 3520 and 3520a for the last 2 years, I transferred my son's RESP to an RESP account owned by his grandfather. In preparing one last go around of the 3520 and 3520a I am unclear as to how to show the transfer on the 3520a. Does the transfer show on line 17a as a distribution (to a non-US...
by quickcanuck
Wed Jul 11, 2012 11:49 pm
Forum: Canada / United States Tax & Accounting
Topic: Poetic Justice
Replies: 4
Views: 3296

Poetic Justice

As one of the many " accidental Americans" on this board I went through the agony of learning about IRS rules and the ins and outs of myriad forms when I first learned about the requirement to file last July. A big thanks to nelsona and the rest of the crew here for their invaluable help. ...
by quickcanuck
Wed Jun 13, 2012 8:42 pm
Forum: Canada / United States Tax & Accounting
Topic: E-Filing FBAR
Replies: 2
Views: 2403

E-Filing FBAR

I had submitted FBAR forms for previous years last year, and I recently got a letter back to tell me the FBAR forms for some of the older years were outdated, and I should resubmit with the latest form. The letter suggested I use the BSA E-Filing system rather than use hard copy forms, and I will tr...
by quickcanuck
Wed Aug 17, 2011 7:47 pm
Forum: Canada / United States Tax & Accounting
Topic: What investments are appropriate for a USC in Canada
Replies: 11
Views: 8300

What investments are appropriate for a USC in Canada

As an "accidental American" I have just gone through the process of filing returns with the IRS for last few years and have discovered the agony of PFIC's, FBAR's and 3520's, so I know that my existing Canadian Mutual Funds are going to be sold, and I need to find investments that are more...
by quickcanuck
Mon Aug 01, 2011 11:45 am
Forum: Canada / United States Tax & Accounting
Topic: Filing back returns: 2008 recovery rebate?
Replies: 7
Views: 4675

Filing back returns: 2008 recovery rebate?

I am preparing returns for 08, 09, and 10, and it appears no tax is due, so I'm hoping this will be enough to get me onside with the IRS. One strange item - Quicktax is telling me I am entitled to a $300 "Recovery Rebate" in 2008 - is that for real?
by quickcanuck
Mon Jul 25, 2011 9:56 pm
Forum: Canada / United States Tax & Accounting
Topic: Clarification on capital gains within Canadian Mutual Funds
Replies: 43
Views: 31615

Quick update - it looks as if this will work out OK after all (no US tax payable). The MTM amount for 2009 - a large gain following a larger loss in 2008 can be reduced somewhat because the MTM loss in 2008 is limited to previous MTM inclusions, so not all of the loss is booked on the 8621, and the ...
by quickcanuck
Mon Jul 25, 2011 12:37 pm
Forum: Canada / United States Tax & Accounting
Topic: Clarification on capital gains within Canadian Mutual Funds
Replies: 43
Views: 31615

Yes, but when I recognize the capital gain in Canada the losses will offset the gains, so the net gain can be much smaller than the US annual calculation. Since I can't use my full Canadian tax to offset the MTM, if I use the full Canadian tax as a deduction instead of a credit, do I have to adjust ...
by quickcanuck
Mon Jul 25, 2011 11:53 am
Forum: Canada / United States Tax & Accounting
Topic: Clarification on capital gains within Canadian Mutual Funds
Replies: 43
Views: 31615

Thanks very much for your detailed answer! That helps clarify the 1116, unfortunately it leaves me with a big tax problem - the passive income from interest and dividends is very small compared to the MTM gains and so I get very little foreign credit even though my total Canadian taxes paid are more...
by quickcanuck
Sun Jul 24, 2011 10:27 pm
Forum: Canada / United States Tax & Accounting
Topic: Clarification on capital gains within Canadian Mutual Funds
Replies: 43
Views: 31615

Interesting, so to allocate my Canadian taxes paid on the 1116 I would add the MTM amount to my Cdn taxable income and take the total passive income (Int + Div + CG + MTM gain) as a % of the new larger total and apply that % to my Total Cdn Tax paid? I obviously did not pay tax on the MTM amount...
by quickcanuck
Sun Jul 24, 2011 6:38 pm
Forum: Canada / United States Tax & Accounting
Topic: Clarification on capital gains within Canadian Mutual Funds
Replies: 43
Views: 31615

Mark to Market income on 1116

The gain from mark to market on a 8621 is taken into "other income" on the 1040. Is this income passive income when completing my 1116, or general income?
by quickcanuck
Thu Jul 21, 2011 11:39 am
Forum: Canada / United States Tax & Accounting
Topic: Clarification on capital gains within Canadian Mutual Funds
Replies: 43
Views: 31615

The RRSP account is with the mutual fund company, and holds only mutual funds that are PFIC's. Could I choose not to deal with them as an RRSP, and prepare an f8621 instead and use Mark to Market to capture the annual change in value?
by quickcanuck
Wed Jul 20, 2011 11:30 pm
Forum: Canada / United States Tax & Accounting
Topic: Clarification on capital gains within Canadian Mutual Funds
Replies: 43
Views: 31615

Again, a sincere thank-you to Nelson (Nelson, eh?) for all the help to us unwitting new US tax filers. I think I have the 8621's, 3520/20A and FBAR done, now working on the RRSP's. I am preparing an 8891 for my mutual funds that are in an RRSP account. I would prefer to take the reinvested distribut...
by quickcanuck
Tue Jul 19, 2011 7:39 pm
Forum: Canada / United States Tax & Accounting
Topic: Clarification on capital gains within Canadian Mutual Funds
Replies: 43
Views: 31615

more 8621 questions

A follow-up question about the mechanics of filing an 8621. If I use the Mark to Market approach and declare the full amount of the annual change in value of my mutual fund account as other income, I will have also captured the reinvested distributions, since they are part of the increase in value. ...