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Thanks nelsona! That makes logical sense to me. It just seemed like the filer is compelled to count the withdrawal as a distribution, and then as taxable income, even though that results in double taxation and wasn't logical. I wish I had just not claimed the TFSA as a trust in the first place, but ...

This should be a simple question ... but I can't find a clear answer on the forum or on the web. I am a US citizen, living in Canada, and contributing to my TFSA yearly. I am up to date with yearly filing of my 3520/3520A, and have claimed income from the growth (capital gains from stock sales and d...

Hello! I have filed a 3520 and 3520-A for years, and my understanding was that they were due on the 15th of the 3rd month after the end of the trust tax year (so, typically March 15). I looked at the instructions today, and they seem to have flexed these to now be due when the general tax return is ...

Thanks nelsona, that matches what I thought but appreciate the clarification from someone more knowledgeable than I am. One quick follow-up: Is a 3520-A required? (It certainly doesn't look like it, but want to make sure given the huge penalties for messing that up.)

My wife and I are dual Canadians/USC's, and will apparently be getting an inheritance from a family member who was a Cdn citizen but not a US citizen. 1) Is there any IRS tax implication of the inheritance? 2) Is there a threshold for filing a 3520/3520A related to an inheritance? 3) Does it matter ...

That's really helpful, and makes good common sense. Thanks!

Quick question about RRSP withdrawals. I am a dual US/Cdn citizen, living in Canada. I've invested into my RRSP for years, but haven't deducted the contributions from my US tax return. Let's say I have contributions of $60K, with gains of $40K, for a grand total of $100K. If I take out $10K from my ...

Great - thanks so much! I don't know how I had missed that before. That matches your previous guidance (nelsona) about delaying SS as long as possible for dual citizens as well.

Hello! I just came across a note I had never seen before, and wanted to see if this is accurate.

Is it true that if you start collecting your Social Security while still working in Canada, your SS is clawed back as long as you are working?

Hi Dualblues - There is lots of info around on this forum. The RESP is a little tricky in Canada; you have to claim your gains on it on your US taxes, so depending on your tax situation you may or may not get a ton of benefit from it. It seems to depend on how much your overall income is, and if you...

There's lots of info on here about that, but if Rev. Proc. 2020-17 applies (which it may, if this is an RESP) then the penalty should be abated?

That's what I did - just sending in a letter indicating that there was no need to send in the 3520/3520A anymore. That might have been overkill, but it seemed to help my own anxiety. I hope that was right - but if not, they'll probably just ignore it.

HI all - Just a bump for this thread, now that the proper 2020 forms have come out from the IRS. The instructions for the 3520 state that the form does not need to be filed for trusts which fall under the new regulations. For people who have been filing the 3520 for their RESP, are you filing this f...

I am a USC living in Canada. If I close a US IRA and withdraw the full amount from it, I understand that I can increase my RRSP cap by the amount that I withdrew, as long as I move that withdrawal into an RRSP. How, exactly, does the RRSP cap change? Do I have to make a declaration for that to happe...

Hi all - I have an RESP which I have filed the 3520/3520A for each year. With the new IRS ruling that an RESP no longer requires a 3520/3520A, how do I stop filing these? It might be as simple as not filing it this year, but the $10K penalty scares me. Should I: 1) file for one more year, and check ...