Search found 304 matches

by MGeorge
Fri Jun 05, 2020 12:26 pm
Forum: Canada / United States Tax & Accounting
Topic: TFSA reporting for Canadian who moved to the US
Replies: 5
Views: 1360

Re: TFSA reporting for Canadian who moved to the US

Oh yeah, I just noticed that in section 5.04 "non-retirement foreign trusts"
by MGeorge
Fri Jun 05, 2020 8:58 am
Forum: Canada / United States Tax & Accounting
Topic: TFSA reporting for Canadian who moved to the US
Replies: 5
Views: 1360

Re: TFSA reporting for Canadian who moved to the US

Hi Cullen, This is great news - thanks for providing this update! Forbes has an article on it. https://www.forbes.com/sites/robertwood/2020/03/03/irs-gives-big-tax-reporting-break-to-foreign-trusts/#2391e8a9598f This should be the end of 3520/3520A reporting for TFSAs and RESPs. The revenue procedur...
by MGeorge
Thu Jun 04, 2020 8:04 am
Forum: Canada / United States Tax & Accounting
Topic: TFSA reporting for Canadian who moved to the US
Replies: 5
Views: 1360

Re: TFSA reporting for Canadian who moved to the US

Hello, I file 3520/3520A for my TFSA, but regret it. There is very good set of legal arguments that the TFSA is not a trust. I believe the safest thing is to stay away from forms 3520/3520A. I've gotten scary letters saying that I filled them incorrectly, even though they were correct. It's like get...
by MGeorge
Thu Jun 04, 2020 7:49 am
Forum: Canada / United States Tax & Accounting
Topic: Do I Need an AIS for a PFIC?
Replies: 1
Views: 326

Re: Do I Need an AIS for a PFIC?

Hello, I've held Canadian ETFs with the QEF election and with the mark-to-market election. From a tax point of view, the good part about the QEF election is that it allows long term capital gain treatment. However, I have found that the book keeping required with the QEF election is much more compli...
by MGeorge
Mon Jan 20, 2020 12:04 pm
Forum: Canada / United States Tax & Accounting
Topic: community property rules
Replies: 1
Views: 802

Re: community property rules

Hello, A married couple living apart has special rules regarding community property. There is a section in publication 555 called "community property rules disregarded". I believe that you just report income you earned. Passive income is more complicated and probably still received community propert...
by MGeorge
Wed May 01, 2019 4:26 pm
Forum: Canada / United States Tax & Accounting
Topic: PFIC!
Replies: 2
Views: 970

Re: PFIC!

Hello, To my knowledge Tangerine investment funds won't provide you with the required PFIC annual information statement needed to make a QEF election. You can 1 of 2 things. Make a mark-to-market election, or stick with the default treatment. The nice thing about tangerine investment funds is that t...
by MGeorge
Tue Apr 16, 2019 11:00 am
Forum: Canada / United States Tax & Accounting
Topic: Penalty for Form 3520 for TFSA
Replies: 13
Views: 4175

Re: Penalty for Form 3520 for TFSA

Hi aed11, I'm very sorry to hear about what is happening to you. I too have received letter after letter about my 3520/3520A filings and I'm getting so sick of it. I agree with CdnAmerican - just get a hold of someone at the IRS office and see if you can get the penalties fully wiped out. The legal ...
by MGeorge
Mon Mar 11, 2019 4:10 pm
Forum: Canada / United States Tax & Accounting
Topic: Reporting PFIC income when not required to file Form 8621
Replies: 5
Views: 1465

Re: Reporting PFIC income when not required to file Form 8621

By the way, if one doesn't file form 8621, and the annual dividends are consistent enough not to trigger an "excess distribution", then the fund is sold for a loss, then form 8621 never needs to be filed for that specific fund. This happened to me once.
by MGeorge
Mon Mar 11, 2019 4:09 pm
Forum: Canada / United States Tax & Accounting
Topic: Reporting PFIC income when not required to file Form 8621
Replies: 5
Views: 1465

Re: Reporting PFIC income when not required to file Form 8621

I agree with nelsona- one still needs to do the calculation so avoiding the form doesn't save much. If one takes advantage of the exemption from filing form 8621, then the default tax treatment applies. Dividends are reported as ordinary dividends (not qualified). Unrealized gains do not need to be ...
by MGeorge
Mon Mar 11, 2019 3:42 pm
Forum: Canada / United States Tax & Accounting
Topic: PFIC with a loss
Replies: 14
Views: 6721

Re: PFIC with a loss

Did you have a mark-to-market election in effect when you reported the $1,350 gain? If so, then you can report the $850 as a mark-to-market loss reported on line 20 (or 21?) "other income". It would just be a negative number on that line. If the loss was from a sale with no mark-to-market election, ...
by MGeorge
Tue Feb 19, 2019 1:49 pm
Forum: Canada / United States Tax & Accounting
Topic: How to report Canadian Maternity Benefits
Replies: 7
Views: 779

Re: How to report Canadian Maternity Benefits

My understanding is that these types of benefits fall under the category of "unemployment compensation" line 19.
by MGeorge
Fri Feb 15, 2019 12:08 pm
Forum: Canada / United States Tax & Accounting
Topic: 3520-A Penalty
Replies: 23
Views: 9553

Re: 3520-A Penalty

Hello Caninus, One position you can take is that the instructions on the due date for filing a substitute 3520A attached to a 3520 are confusing. The trustee is responsible for filing 3520A by March 15 in order to relieve you of the obligation of completing a substitute 3520A and attaching it to the...
by MGeorge
Thu Jul 19, 2018 10:42 am
Forum: Canada / United States Tax & Accounting
Topic: Taking stab at 3520, -A for TFSA
Replies: 157
Views: 133039

Re: Taking stab at 3520, -A for TFSA

Hello, I've been wondering about this as well. I want to stop reporting my RESP and TFSA based on the arguments presented by Max Reed, but I don't know how to tell the IRS why I'm stopping. And, I'm worried that this could imply that I should have been reporting them elsewhere. Disregarded entity?, ...
by MGeorge
Thu Jul 19, 2018 10:30 am
Forum: Canada / United States Tax & Accounting
Topic: PFIC with loss, doesn't matter?
Replies: 1
Views: 691

Re: PFIC with loss, doesn't matter?

Yes - don't declare the loss on the 8621 - it won't go on your tax return from form 8621.
However, losses in a PFIC under any election can be reported on Schedule D on your 1040.
by MGeorge
Wed Apr 18, 2018 12:59 pm
Forum: Canada / United States Tax & Accounting
Topic: QEF Net Gains - Do I need Schedule D ?
Replies: 3
Views: 1077

I use TaxACT and found that it didn't automatically add the capital gain part to schedule D. I had to add my own entry on schedule D (long term) called "gain from form 8621"