Serbinski Accounting Firms

Hi,

In 2013, my RRSP account was moved into a new account/number to clean up accounting on my brokers side after I moved stateside in late 2012 (... yes, my canadian broker is licensed to manage both RRSP's and regular accounts for US residents).

As per my searches of this and other forums, I ...

Hi,

re. 1: sorry, yes you are correct in that one would first apply FEIE. but in it's only a % of the year as a NR x FEIE limit per person (95,100 in 2012). you can't share or 'borrow' some of the FEIE from your spouse to cover your income from what I have read and how form 2555 works. but maybe i ...

Hi,

Just wanted to comment on dual-status returns ... there *are* some situations where dual-status does make sense. I in fact had much lower taxes when emigrating from Canada in 2012.

I think this occurs when your effective canadian tax rate is lower than your effective MFJ tax rate and you ...

Ah yes i see. Didn't realize these were employer mat benefits vs EI. Should have caught that with the CPP and EI deductions. Thanks for the clarification.

I guess you must be using the $10,000 rule in the Tax Treaty for employment income in the other country (Canada) ... interesting.

I guess this method is "better" than section 217 for income < $10k because it doesn't matter how much other money one earned in their resident country (the US in this ...

My wife (and I) are in a very similar situation. We moved to the US in 2012 and she had remaining maternity benefits in 2013. She had $9215 in benefits and 25% non-resident withholding tax.

However we didn't use line 256 to exclude the amount. We filed her as a non-resident electing under section ...

Could he not just avoid the hassle of splitting the canadian interest and dividends into two buckets (resident and then nr withholding) by filing a section 217 and getting taxed at regular rates on the whole pile? Mind you, it might result in more effective tax in which case the section 217 would ...

Exactly. Same situation as mine. My wife will file section 217 for 213 to get back tax on maternity benefits but the UCCB repayment deduction will have no value because the personal amount will have covered her mat benefits. It's the (small) price we paid for not stopping UCCB payments at the ...

I think I see the issue. For what tax year did you get the RC62 with $300 in box 12 for the repayment? I am assuming 2012. But you claimed the deduction in 2011, which was wrong. You should have claimed the deduction in 2012 (the following year to the year when you were overpaid). So they see that ...

One last comment. I dug this up CRA manual with reference to this situation ... http://solnshki.com/AlanHinton/LexbaseTax/Documents/5.%20CRA%20Internal%20Manuals/CRA%20Non-Resident%20-%20International%20Information%20-%20Individual%20Services%20Technical%20Help%20Guide%20-%202010.pdf

See pages 81 ...

Just wanted to clarify that with UCCB repayments, the CRA does not reassess the previous years return - they just give you a deduction in the current year. http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/ncm-tx/rtrn/cmpltng/ddctns/lns206-236/213-eng.html

So why are they doing a reassessment of the previous ...

We may be in a similar situation for 2012. My wife overpaid UCCB in 2012 for a few months after becoming a non-resident. The standard protocol is that the CRA issues an RC 62 for the repayment and then you get a *deduction* for this amount on the following years return. Obviously this is complicated ...

got it - just wanted to confirm. thank you for your timely help!

Thanks again. One last question on this topic - is cdn source interest income taxable for canadian non-residents? I.e. do i report all cdn sourced income post departure or not include interest? (similar to how us sourced interest income is not taxable to us non-residents, only dividends etc).

Thanks. Ok so I don't worry about the inconsistencies with forms and 1040.

I also noticed that they removed the dual-status filing example from 519 this year - wonder why they would do that. but yes I was using their prior example.

Unfortunately, the nr dividends did initially have withholding ...