Serbinski Accounting Firms

I think this disparity is because I pay my Canadian tax on the full amount of RIF but I report on my 1040 only a taxable portion of my RIF (~20%). Therefore the ratio of Canadian income to total income is very small. My effective federal tax rate (relative to the total income) is ~7.5%. In your firs...

Thank you for reminding me that filing under section 217 should result only in taxation of my income from Canadian sources. The federal tax is adjusted to this part of my income at the very end of the T1 form, after the Section 217 tax adjustment calculated in the Part 2 of Schedule C. My FTC in US ...

I am a a US tax- resident. My income is mostly from SS and 401. CPP and RIF make a much smaller part of my income. As a non-resident of Canada my only tax obligation is a 15% tax on my RIF income (withheld automatically by the bank). CRA states that if I want to get a refund on a part of this tax, I...

No progress in this matter. I am still keeping this house in Canada as my vacation home.

Thank you for answering. Yes, I filed a non-resident US tax return during those year in Canada.

I purchased the house in 2010 when I was a US resident. I rented it for 4 years. I moved back to Canada in 2014 and converted the house from a rental to my principal (with capital gain/loss reported to CRA). In 2022 I moved to US and became a US tax resident. I still have this house (vacant). If I s...

I became a US tax resident in 2022. I still did not close all my TFSA accounts because they were invested in GICs. As IRS does not recognize Canadian TFSA I have to add the interest from these GICs to 1040. What would be the best way to show this income in 1040. Obviously I do not have any T5 slips ...

Do you mean the 250K limit (or 500K for married) in the capital gain?

If I do not convert this house to a rental and will sell it in a few years, what cost base should I use for the US tax, the house price at the time I become a US resident (2022) or the house price at the time I purchased it (2010)? It was my principal residence from 2014 to 2022.

I will move to US this year. I leave my current principal residence vacant until the next year. If I sell it in 2023, I will need to calculated a capital gain between the time I leave Canada and the time I sell the house. Should I file form T2091 for my 2022 filing to CRA to designate this home as m...

Thank you. Who will file form 8833, me or my wife? Or both? I checked instructions for 8833. It seems that this non-discrimination clause XXV falls under a treaty-based return position as required by section 6114. Is the clause XXV a part of this 6114 regulation or it is an article of the treaty? It...

Could you elaborate what is the non-discrimination clause XXV about? Usually I filed to IRS form 8833 claiming a treaty-based return position for my Social Security (per article XVIII).

Thank you for your detailed answer. Could you advise how to report RIF payments to IRS for the following situation: I used to live in US for 10 years, then I moved to Canada, and now I am moving to US again. My RRSP/RIF account value (NT) before my first move to US was 60K. During my 10 year US resi...

To have this 15% tax, I will probably need to file two returns to CRA: first one for 10 months when a resident (T1 form) and the second one for 2 months as a non-resident (under section 217 and NR5 form) because my RIF payment will be during these last two months. Correct?

There is a lot of information on this site about RIF payment taxation for non-residents of Canada. However I could not find info about this situation: If I am a Canadian resident only for a first part of the year, what is better - to take my RIF minimum lump payment when I am a resident or when I be...