Search found 22 matches

by Lrod373
Sun Mar 06, 2022 11:31 am
Forum: Canada / United States Tax & Accounting
Topic: Need my son report RESP EAP in tax return?
Replies: 20
Views: 10457

Re: Need my son report RESP EAP in tax return?

True enough... still the question remains.. does that NR4 with code 24 needs to be reported, if yes, how?
by Lrod373
Sat Mar 05, 2022 8:31 pm
Forum: Canada / United States Tax & Accounting
Topic: Need my son report RESP EAP in tax return?
Replies: 20
Views: 10457

Re: Need my son report RESP EAP in tax return?

From the headline of the article
---------------------
This article is intended for U.S. citizens and other persons
considered to be U.S. residents for U.S. income tax and U.S.
transfer tax purposes WHO RESIDE IN CANADA.
---------------------------------
by Lrod373
Sat Mar 05, 2022 9:06 am
Forum: Canada / United States Tax & Accounting
Topic: Need my son report RESP EAP in tax return?
Replies: 20
Views: 10457

Re: Need my son report RESP EAP in tax return?

Well, your son will get an NR4 with the EAP distribution and the 25% tax withehld and Code 24 in box 14. This slip will certainly go to the IRS as income, so I am certain that it must be reported. I just can't figure out as what type of income since it is a mix of mutual funds, dividends but it is a...
by Lrod373
Fri Mar 04, 2022 6:47 pm
Forum: Canada / United States Tax & Accounting
Topic: Need my son report RESP EAP in tax return?
Replies: 20
Views: 10457

Re: Need my son report RESP EAP in tax return?

He certainly needs to report it, I know that form 1116 is involved because the Foreign Tax Credit. I just don't know what "kind" of income to enter it as. IS it dividends? capital gains (most likely). A clarification would be highly appreciated. The last thing anybody needs is an IRS buboo...
by Lrod373
Fri Mar 05, 2021 12:53 am
Forum: Canada / United States Tax & Accounting
Topic: RESP Rev Proc 2020-17
Replies: 14
Views: 7458

Re: RESP Rev Proc 2020-17

I am no expert, but sending another form won’t “close” anything... the RESP is still regarded as a trust, as explained by Nelsona...IMHO, sending anything might produce confusion...
by Lrod373
Mon Mar 01, 2021 7:38 pm
Forum: Canada / United States Tax & Accounting
Topic: RESP Rev Proc 2020-17
Replies: 14
Views: 7458

Re: RESP Rev Proc 2020-17

You are right, I appreciate the comment.. at least they removed the need to file the 3520 forms which were beyond painful
They are still treated as Trusts... even when these are not really a trust, but who wants to pick a fight with the IRS.
by Lrod373
Mon Mar 01, 2021 4:41 pm
Forum: Canada / United States Tax & Accounting
Topic: RESP Rev Proc 2020-17
Replies: 14
Views: 7458

Re: RESP Rev Proc 2020-17

Nelsona,
thanks for responding... we are not required to report any dividends or gains in RRSPs... wouldn't that be the same for RESPs... they are exactly the same except the purpose. Can you please expand on this?
by Lrod373
Sun Feb 28, 2021 10:35 am
Forum: Canada / United States Tax & Accounting
Topic: IRS asking for a Form 1041 incorrectly
Replies: 9
Views: 6413

Re: IRS asking for a Form 1041 incorrectly

I have the same question, because the classification of RESPs as trusts was wrong in the first place. I tend to think that sending another 3520 will just perpetuate the issue. But I like the idea of sending a letter in place of the 3520, 3520A explaining that + reference to the relief note....
by Lrod373
Sun Feb 28, 2021 10:30 am
Forum: Canada / United States Tax & Accounting
Topic: RESP Rev Proc 2020-17
Replies: 14
Views: 7458

Re: RESP Rev Proc 2020-17

Do we still need to report the dividends/interest received within the RESP? .... I have been reporting those every year under the previous treatment of the RESPs as "trust" which they are not. But if the RESPs are now recognized like RRSPs are, then we wouldn't have to, right? Any help in ...
by Lrod373
Sun Feb 28, 2021 10:23 am
Forum: Canada / United States Tax & Accounting
Topic: Forgot an account on FBAR and 8938
Replies: 1
Views: 1084

Re: Forgot an account on FBAR and 8938

Just file amendments.. should be fine, specially being $0
by Lrod373
Fri Sep 18, 2020 3:47 pm
Forum: Canada / United States Tax & Accounting
Topic: Reporting the EAP portion of RESPs in the 1040
Replies: 20
Views: 7735

Re: Reporting the EAP portion of RESPs in the 1040

Scotiabank confirmed that the funds can go to our account or the children account (we are all NR). More importantly, the Tax forms will be on my daughter/son's name....
by Lrod373
Wed Sep 16, 2020 5:37 pm
Forum: Canada / United States Tax & Accounting
Topic: Reporting the EAP portion of RESPs in the 1040
Replies: 20
Views: 7735

Re: Reporting the EAP portion of RESPs in the 1040

@FormerPatriot
Thanks for your post, I contacted Scotianbank and they told exactly what you posted. The EAP (growth) can be deposited into my or my daughter's account BUT, all the Tax forms will be issued on her name. This clarifies many things...
by Lrod373
Wed Sep 16, 2020 3:16 pm
Forum: Canada / United States Tax & Accounting
Topic: Reporting the EAP portion of RESPs in the 1040
Replies: 20
Views: 7735

Re: Reporting the EAP portion of RESPs in the 1040

That would work beautifully, I will ask Scotia if they would do that...at the end, you want to have a paper trail that the funds went to your son/child and NOT to you.
by Lrod373
Mon Sep 14, 2020 7:52 pm
Forum: Canada / United States Tax & Accounting
Topic: Reporting the EAP portion of RESPs in the 1040
Replies: 20
Views: 7735

Re: Reporting the EAP portion of RESPs in the 1040

Correct, they take it back for NON-Residents...it is not much, so it is not that painful as a 25% withhold.