Search found 73 matches

by Diskdoctor
Wed Jul 14, 2010 2:28 pm
Forum: Canada / United States Tax & Accounting
Topic: Emptying out an RRSP for the Home Buyers' Plan
Replies: 11
Views: 4169

Nelson,

Many thanks for your helpful advice and effort you put into this message board. It's greatly appreciated.

What is the treaty position you recommend taking on the 8833 in this case? Article XVIII(7) only seems to address income within the trust not a distribution.
by Diskdoctor
Mon Jul 05, 2010 8:48 pm
Forum: Canada / United States Tax & Accounting
Topic: Emptying out an RRSP for the Home Buyers' Plan
Replies: 11
Views: 4169

If the RRSP was a term deposit or bank account would you take the interest earned each year and convert it to USD using the exchange rate at the time rather than take the final value minus the starting value and converting using the current tax years exchange rate? Mutual funds or other securities w...
by Diskdoctor
Mon Jul 05, 2010 1:50 pm
Forum: Canada / United States Tax & Accounting
Topic: Interaction of forms 2555 and 1116
Replies: 13
Views: 6522

Nelson said "when you use 2555, the tax is calculated as if your deductions (standard or otherwise) were spread over the entire income you had. when you use 2555, you don't have a tax-free amount." Looking at how the values get entered on the 1040 and the Foreign Earned Income Tax Worksheet this doe...
by Diskdoctor
Fri Jul 02, 2010 8:38 pm
Forum: Canada / United States Tax & Accounting
Topic: Treaty Declaratiions & RRSP Transfers
Replies: 3
Views: 1806

So, for a year in which you collapsed an RRSP and opened a new one, in the 8891 for the collapsed RRSP the full amount gets reported on line 7a as a distribution and then the taxable amount on line 7b is zero? Do you need to do anything else besides put the amount in line 16a of the 1040? Do you nee...
by Diskdoctor
Tue Jun 15, 2010 3:30 pm
Forum: Canada / United States Tax & Accounting
Topic: RESPs with U.S Citizen Subsciber--any hope?
Replies: 32
Views: 12301

I'm of interest but I don't have to file FBAR and 3520 documents every year.
by Diskdoctor
Tue Jun 15, 2010 2:17 pm
Forum: Canada / United States Tax & Accounting
Topic: RESP reporting in the US / Form 3520
Replies: 2
Views: 4172

Any insights yet Engineer? I'm also looking for some guidance in filling out this form. On a related note, I can't seem to find mention anywhere of how the CESG should be handled. In the eyes of the IRS is this income for the subscribers of the RESP (usually the parents)? It obviously increases the ...
by Diskdoctor
Tue Jun 15, 2010 2:04 pm
Forum: Canada / United States Tax & Accounting
Topic: RESPs with U.S Citizen Subsciber--any hope?
Replies: 32
Views: 12301

[quote="nelsona"]"trust law will disallow a simple transfer of your RESP to your Canadian spouse" Not sure you meant this. The new law would not disallow the transfer. What it might do is prevent the trust from avoiding 3520 reporting, which was the goal of the transfer.[/quote] So what would be the...
by Diskdoctor
Thu Apr 22, 2010 8:49 pm
Forum: Canada / United States Tax & Accounting
Topic: RESPs with U.S Citizen Subsciber--any hope?
Replies: 32
Views: 12301

I just came across that naturalization thing today too. I don't think it will apply to us since the American grandparent currently lives in Canada as well but it's good to know about these things anyway.
by Diskdoctor
Thu Apr 22, 2010 2:04 pm
Forum: Canada / United States Tax & Accounting
Topic: RESPs with U.S Citizen Subsciber--any hope?
Replies: 32
Views: 12301

Our children are not U.S. citizens at this time. My wife has American citizenship from her father but the laws require her to have lived at least 5 years in the U.S. in order to pass this citizenship on to her children. At some point they may acquire U.S. citizenship but it's not an automatic thing.
by Diskdoctor
Wed Apr 21, 2010 6:27 pm
Forum: Canada / United States Tax & Accounting
Topic: RESPs with U.S Citizen Subsciber--any hope?
Replies: 32
Views: 12301

Our children qualify as dependents but they are not U.S. citizens, U.S. nationals or U.S. resident aliens so they don't qualify for the child tax credit. So as far as me filing U.S. taxes goes it seems like more of a hassle than anything. Though there may be complications I'm not anticipating if we ...
by Diskdoctor
Wed Apr 21, 2010 11:28 am
Forum: Canada / United States Tax & Accounting
Topic: RESPs with U.S Citizen Subsciber--any hope?
Replies: 32
Views: 12301

[quote="nelsona"]But she should be filing, every year, 3520 for RESP, 8891 for RRSP, and TDF-90.22.1 for all accounts we she touches either separately or jointly with you.[/quote] Anybody out there gone back and filed the 3520 years after the fact? The penalties on the instructions for the form (35%...
by Diskdoctor
Wed Apr 21, 2010 11:18 am
Forum: Canada / United States Tax & Accounting
Topic: RESPs with U.S Citizen Subsciber--any hope?
Replies: 32
Views: 12301

[quote="nelsona"]By the way, not filing a joint 1040 with you is probably costing you $1000 per year per child in IRS tax credit, so I would be filing a joint 1040 every year just to get that money.[/quote] Thanks for the response. Reading over the instructions for the 1040 I understood that we shou...
by Diskdoctor
Wed Apr 21, 2010 10:08 am
Forum: Canada / United States Tax & Accounting
Topic: RESPs with U.S Citizen Subsciber--any hope?
Replies: 32
Views: 12301

I wish I'd known more about this about 6 years ago. Our situation is we have family RESPs for our children that we've contributed to for 6 years with both my wife and I listed as contributors. My wife is a dual citizen and I'm Canadian. She hasn't been filing U.S. taxes because her income has not be...