Serbinski Accounting Firms

This thread is for those who have renounced their US citizenship during the tax year. Is this your case?

What capital gains and interest could you be including? Interest is tax-free for non-residents, and cap gains (except for selling Cdn real estate) are not taxable in Canada for US residents.

Just file your 216.

Yes, you could do that, but realize that there is no US tax to claim against. You will be building up some FTC for POSSIBLE future use, but will not get any credit this year, as none of it was taxable in US. The GROSS amount on line 1a of 1116 would still be ZERO, but you would have Cdn tax to repor...

So, as I said, you were withheld correctly. You did not correctly make your withdrawal periodic, thus you were not entitled to 15% rate on the first 10%. Only withdrawals made up to the 10% mark are withheld at 15%. Any withdrawal that puts you over the 10% mark is FULLY TAXED at 25%. Better math ne...

216 election is reported on form T1159, which is VERY SHORT.

No. The 216 return has no provision for lowering taxes other than RRSP contributions, FHSA contributions or some legal fees. 216 is designed to determine taxation of rental income and expenses only. If you have other income in Canada that would be reportable on a non-resident return (including a 217...

How many withdrawals di you make?

Be careful. If you received this payment in ONE withdrawal, you were correctly withheld. Hope you didn't goof on your withdrawal request. To get the 15%, you must FIRST make withdrawals that total less than 10% of your Beginning of year value. Then, if you need more, all withdrawals that put you ove...

Reread what I asked" If it was NOT taxable when you lived in canada (I presume you have had this type of income in the past) then it is not if you are in US. If it WAS taxable in Canada, then it is taxable in US the same wat that particular type of income. You will need to figure out how SS Dis...

Article XVIII.5(b) would apply in this case IF the that benefit would not be taxable in Canada when you lived there.

Was it?

If not, it is not taxable in US either.

If it was, then it would fall under the taxation rules for Social Security Disability payments.

Correct. For this type of transfer to work, you must have a good income in Canada.

the penalty for not filing 8833 is only for a very limited types of elections, which this isn't one of them.

Sorry, not going to read this. Hope you can figure it out. Next year start thinking about this in December

So report those "incomes". Or ask the trustee for better documentation.

Pension income from US, since it was not periodic, is NOT limited to the 15%, so the Cdn form should not be limiting your US tax,