Serbinski Accounting Firms

[quote="nelsona"]Like I said, you made so many wrong assumptions in your other post (why 2 posts?) that I didn't bother reading the mechanics of of this one.

Bottom line: you will pay tax on all your income as if you earned it in BC, no more, no less.

SS is eligible for the pension amount.[/quote ...

[quote="nelsona"]You need to redo these based on your other posts. You had a wrong assumption in each of your questions.

In the end you will only pay a little US tax on your 401(K), and the rest will be taxed in canada
Assume you will be paying more tax in Canada. Period. Is it worth the free ...

[quote="nelsona"]Just for #2 correction. You won't have any withholding on your 401(k), since you are US itizens, It will be upto you to remit a small amount to IRS. the 15% is for non-citizens. Your US tax on 401(K) will be about 10% if that.[/quote]

Thank-you, Nelsona! I appreciate the quick ...

Here is the scenario for this question:

My wife and I, who were born and raised in Canada emigrated to the U.S., stayed decades, are dual Canadian and U.S. citizens, and are strongly considering moving back to Canada.

We have a reasonably sized 401k in The U.S. I assume that once my wife retires ...

My wife and were born and raided in Canada and emigrated to the U.S. decades ago, but have of course retained both Canadian and U.S. citizenship.

We are strongly considering returning to Canada, and income taxes are one of the remaining "sanity check tests" to perform.

So, I pretended I had moved ...