Search found 17 matches

by lbeauvil
Wed Dec 13, 2023 9:57 am
Forum: Canada / United States Tax & Accounting
Topic: How to apply FTC in Canada and US
Replies: 10
Views: 10582

Re: How to apply FTC in Canada and US

I think I get it now but to make it extra clear and put the nail in the coffin on this one, let's look at this very simple example. There is plenty of Cdn tax on the interest to bring the US tax to $0 when using FTC. In this case I would use $147.60 as Cdn credit for the 401k income. US tax 1040 ---...
by lbeauvil
Tue Dec 12, 2023 8:36 am
Forum: Canada / United States Tax & Accounting
Topic: How to apply FTC in Canada and US
Replies: 10
Views: 10582

Re: How to apply FTC in Canada and US

Thanks Nelsona, I think I understand why you say "You would only file a 1116 for any Cdn income you reported on your 1040. You would get credit on your Cdn return for the 401(k) tax you pay in US, which wouldnt change in any of these calcualtions." 1040 line 16 (Tax) is the same before and...
by lbeauvil
Mon Dec 11, 2023 4:29 pm
Forum: Canada / United States Tax & Accounting
Topic: How to apply FTC in Canada and US
Replies: 10
Views: 10582

Re: How to apply FTC in Canada and US

Sorry if I was not clear and thanks for trying to explain it to me. Let me try again. By the way, there are other incomes at play from US and Cdn source but I talk only about 401k with fictif numbers as an example and use only the prorated 401k tax portion. The 401k is taxed in the US and Canada eve...
by lbeauvil
Mon Dec 11, 2023 3:36 pm
Forum: Canada / United States Tax & Accounting
Topic: How to apply FTC in Canada and US
Replies: 10
Views: 10582

Re: How to apply FTC in Canada and US

I apologize for going in circle but this has been bogging me for some times and I want to make sure. In my previous example I would claim $150 deduction on my CAN return even though I owe only $10 on my US tax when filling it?
by lbeauvil
Mon Dec 11, 2023 3:28 pm
Forum: Canada / United States Tax & Accounting
Topic: How to apply FTC in Canada and US
Replies: 10
Views: 10582

How to apply FTC in Canada and US

I found several posts where nelsona stipulate "In either country, you perform the foreign tax credit calculation BEFORE applying the foreign tax credit (FTC)" I thought I knew what this means but I'm still confused about the execution because this could mean deducting a tax on CAN return t...
by lbeauvil
Mon Dec 11, 2023 11:51 am
Forum: Canada / United States Tax & Accounting
Topic: How to calculate effective tax rate when splitting 401k?
Replies: 3
Views: 4932

Re: How to calculate effective tax rate when splitting 401k?

Thanks nelsona for the quick response. Got it. I'll put RRSP in general income. The dividends are qualified so no tax on it. My question 1 is more to try to figure out the Canadian effective tax to allocate the correct amount on the two US form 1116 categories. Let's put some simple numbers to illus...
by lbeauvil
Sun Dec 10, 2023 10:59 am
Forum: Canada / United States Tax & Accounting
Topic: How to calculate effective tax rate when splitting 401k?
Replies: 3
Views: 4932

How to calculate effective tax rate when splitting 401k?

Getting an early start on my 2023 taxes. My wife and I are dual citizens (US/Canada) living in Canada/Quebec. I have income from 401k and dividends from the US and wages, RRSP and interest from Canada. My wife has dividends from the US and interest and rentals from Canada. I split my 401k with her a...
by lbeauvil
Sun Apr 03, 2022 7:58 am
Forum: Canada / United States Tax & Accounting
Topic: Form 8938 and FBAR for Canadian brokerage account
Replies: 5
Views: 2012

Re: Form 8938 and FBAR for Canadian brokerage account

I think I found the answer to part of my questions on an IRS site. "If you have a financial account maintained by a foreign financial institution and the value of your specified foreign financial assets is greater than the reporting threshold that applies to you, you need to report the account ...
by lbeauvil
Sat Apr 02, 2022 10:42 am
Forum: Canada / United States Tax & Accounting
Topic: Form 8938 and FBAR for Canadian brokerage account
Replies: 5
Views: 2012

Form 8938 and FBAR for Canadian brokerage account

For a US citizen living in Canada, how do we file form 8938 and FBAR for stocks held in a Canadian brokerage account? Do we need to list each securities individually or just the total in the account? Do we need to include US securities that are held in this Canadian account or just Canadian securiti...
by lbeauvil
Sun Jan 03, 2021 6:09 pm
Forum: Canada / United States Tax & Accounting
Topic: Moving from US to Canada
Replies: 12
Views: 5100

Re: Moving from US to Canada

Sorry to wake up an older post. "The treaty provides that Cdn residents do not pay US cap gains tax." Does that apply to US citizens living in Canada as well? I am dual citizen (Canada/USA). I have been in the USA for 23 years and own some stocks with a ~$60k capital gain (acquired while l...
by lbeauvil
Sun Jun 30, 2019 8:15 pm
Forum: Canada / United States Tax & Accounting
Topic: IRAs for non resident citizens
Replies: 41
Views: 17887

Re: IRAs for non resident citizens

Hi coco1106, did you get any news from your meeting with Fidelity in May? Did they confirm you can keep your retirement account with them after moving to Canada?

I'm trying to get the same confirmation from Prudential but not easy to have a clear answer.
by lbeauvil
Sun Mar 17, 2019 1:56 pm
Forum: Canada / United States Tax & Accounting
Topic: W-8 form
Replies: 5
Views: 2345

Re: W-8 form

My understanding is that W-9 form is used to tell your financial institution to not withhold tax from 401k/IRA distribution as a US citizen living abroad.

https://www.irs.gov/forms-pubs/about-form-w-9
by lbeauvil
Sun Mar 17, 2019 1:49 pm
Forum: Canada / United States Tax & Accounting
Topic: Filing US + CA Departure returns - worth paying > 1.5K?
Replies: 2
Views: 1549

Re: Filing US + CA Departure returns - worth paying > 1.5K?

I moved from Canada to the US in 97 and did my own tax reports in Canada and US! I made a bunch of mistakes and had Serbinski's firm refile 2 years of tax for me. For the first year I would recommend the use of experts.
by lbeauvil
Wed Apr 05, 2017 11:24 am
Forum: Canada / United States Tax & Accounting
Topic: CDN mortgage filing requirements for US citizens
Replies: 9
Views: 7837

Hi nelsona,
any idea about the temporary mortgage deposit trust? Does this need to be disclose in a FBAR and do we use only 50% of the join value?

Thanks
by lbeauvil
Wed Apr 05, 2017 9:57 am
Forum: Canada / United States Tax & Accounting
Topic: CDN mortgage filing requirements for US citizens
Replies: 9
Views: 7837

Thanks nelsona. I was apparently mistaken and there was a deposit given to the lawer to put in a trust for few days before closing on the house. - In this case does the trust need to be disclosed in FBAR and 8938 (if meeting treshold)? - If need to be disclosed, can she use only 50% of the value sin...