Search found 15944 matches

by nelsona
Tue Oct 15, 2019 8:58 am
Forum: Canada / United States Tax & Accounting
Topic: Question Regarding U.S. Foreign Tax Credit
Replies: 7
Views: 89

Re: Question Regarding U.S. Foreign Tax Credit

You don't really need to, but you could file an 8833 treaty claim just to explain, but I would not bother.
by nelsona
Tue Oct 15, 2019 8:57 am
Forum: Canada / United States Tax & Accounting
Topic: Currency cap gains tax impact on US return?
Replies: 2
Views: 24

Re: Currency cap gains tax impact on US return?

There is no currency issue on your 1040. The tax you paid in Canada can be used on a passive income 1116, carried forward perhaps for future years, but there will be no credit that year, from what you say.
by nelsona
Fri Oct 11, 2019 5:18 pm
Forum: Canada / United States Tax & Accounting
Topic: Abbreviated Question re: Executor Duty to Pay Foreign Tax
Replies: 4
Views: 60

Re: Abbreviated Question re: Executor Duty to Pay Foreign Tax

As is often and consistently advised her, US persons should NOT be the executor of Cdn estates, not for the reason you mention, but because it raises foreign trust reporting problems. Maybe you could back out? It's also not wise for the executor to be an inheritor. In any event, the only concern wou...
by nelsona
Fri Oct 11, 2019 5:14 pm
Forum: Canada / United States Tax & Accounting
Topic: Question Regarding U.S. Foreign Tax Credit
Replies: 7
Views: 89

Re: Question Regarding U.S. Foreign Tax Credit

Incorrect on the application of that treaty part, since you WERE a resident of Canada when it was earned in that year. You could try, but it would be denied by Canada. Better off just paying the little Cdn tax and applying it as a credit on your US return. You could try that technique is a future ye...
by nelsona
Fri Oct 11, 2019 5:09 pm
Forum: Canada / United States Tax & Accounting
Topic: Calculation of IRS tax credit on RRIF distribution
Replies: 3
Views: 56

Re: Calculation of IRS tax credit on RRIF distribution

Yes, but it goes on a different 1116, passive income. Your RRIF is general limitation income. They don't mix. So unless you have other foreign passive income, you won't get any credit.
by nelsona
Wed Oct 09, 2019 8:18 am
Forum: Canada / United States Tax & Accounting
Topic: Question Regarding U.S. Foreign Tax Credit
Replies: 7
Views: 89

Re: Question Regarding U.S. Foreign Tax Credit

You aren't using the criteria in Pub 519 to file full year, you are using the tax treaty non-discrimination clause which allows you to file as any other US citizen in the same circumstances as you, which is moving to US mid-year. to you questions: 1. As I said, source country gets first kick. 2. You...
by nelsona
Tue Oct 08, 2019 7:45 pm
Forum: Canada / United States Tax & Accounting
Topic: Question Regarding U.S. Foreign Tax Credit
Replies: 7
Views: 89

Re: Question Regarding U.S. Foreign Tax Credit

You will probably find it MUCH simpler to file a simple 1040 for 2018, rather than dual status, so that you can use the standard deduction, but putting that aside, there are many case where money is taxed in BOTH countries, and the money you earned in 2018 is a good example. Anything sourced in Cana...
by nelsona
Tue Oct 08, 2019 7:39 pm
Forum: Canada / United States Tax & Accounting
Topic: Dual Citizen with long visiting stay in Canada
Replies: 1
Views: 40

Re: Dual Citizen with long visiting stay in Canada

There really isn't a numerical limit. 183 days in a calendar could see you considered a "deemed resident" by CRA. but if by treaty you still have your centre of vital interests in US, then you would still be considered US tax resident.
by nelsona
Mon Oct 07, 2019 10:43 am
Forum: Canada / United States Tax & Accounting
Topic: Calculation of IRS tax credit on RRIF distribution
Replies: 3
Views: 56

Re: Calculation of IRS tax credit on RRIF distribution

For Form 1116, you use the entire tax, and the form will calculate what you can use. In your example It will likely be much less than $3000 -- parhaps as little as $500!! and you get to carryforward year-after-year, all these extra tax credits, for upto 10 years, and will not likely use them. This i...
by nelsona
Sun Oct 06, 2019 9:11 am
Forum: Canada / United States Tax & Accounting
Topic: Moved to the USA without liquidating TFSAs
Replies: 4
Views: 339

Re: Moved to the USA without liquidating TFSAs

1. Any taxable income. Interest, dividends and gains trigeers/received after moving.
2. gains would be as normal. there is no resetting for TFSA, since it was not deemed disposed.
3. Yes, for 2019 that may be best. then make sure yoyr TFSA is closed this year.
by nelsona
Sat Oct 05, 2019 7:23 pm
Forum: Canada / United States Tax & Accounting
Topic: Moved to the USA without liquidating TFSAs
Replies: 4
Views: 339

Re: Moved to the USA without liquidating TFSAs

The TFSA, first, is treated as an ordinary account in US, so whatever taxable income it generates while your are taxable in US, must be reported on your 1040. ' Second, TFSA can be viewed as a foreign trust, requiring 3520 reporting. Third, if your TFSA holds Cdn mutual funds or ETFs. , they are tre...
by nelsona
Sat Oct 05, 2019 7:19 pm
Forum: Canada / United States Tax & Accounting
Topic: Exchange rate for Canadian income for WEP calculations
Replies: 5
Views: 99

Re: Exchange rate for Canadian income for WEP calculations

No, I believe it would be after WEP. But then the spouse's portion would not be WEP'd.
by nelsona
Sat Oct 05, 2019 7:16 pm
Forum: Canada / United States Tax & Accounting
Topic: Joint Bank accounts and FBAR
Replies: 1
Views: 57

Re: Joint Bank accounts and FBAR

It isn't much of a reporting issue, 3 more lines on FBAR, and her ID would be her Cdn SIN, if that.
The alternative is no joint account. FBAR and FATCA are there for a reason, if your boy could easily circumvent it, so could those they are trying to catch.
by nelsona
Thu Oct 03, 2019 4:42 pm
Forum: Canada / United States Tax & Accounting
Topic: Case Studies: Social Security, WEP, and CPP
Replies: 17
Views: 541

Re: Case Studies: Social Security, WEP, and CPP

Ive never seen any WEP runs that suggest waiting for CPP.