Serbinski Accounting Firms

You will note that the statement Phil makes is under the heading of foreign tax credits.

Neither ends up being taxed by IRS . however, by procedure both are reported, and then credit is taken by using form 1116: Cdn interest by a passive 1116, and US interest by a re-sourced by treaty 1116.

One cannot simply not report the income.

Yes. You can at that time elect to have the property considered sold in US as well, to mesh the tax credits.

Roth distributions ARE considered income -- foreign pension income. Then, the treaty allows you deduct that income on line 25600, which is the purpose of that line. Social security is treated similarly: you include ALL the income, and then deduct the 15% on line 25600. CRA wants to know your income ...

It is very likely that the US stocks are issuing qualified dividends, which are not taxable in US unless you are in a very high tax bracket.

Bank of Canada can generate average exchange rates based on almost any date range, so that is not a problem. Besides, you can use the average for the entire year. if you wish Not a big issue.

If you have an RRSP, RRIF, etc, you should be ticking that box in any event. Ticking the box does not commit you to filing 3520, and since you have concluded it does not require 3520, there is no harm in ticking the box.

You would need to explain yourself, and 8833 is the means. As FunTopic points out, there may be reasons that you should file dual. But they may be overridden by treaty.

The issue of commuter and first year taxes have been dealt with here ad infinitum. PLEASE research.

Well, you would only include US taxes on US-based income. Any US taxes paid on Cdn-source income would need to be handled on your US return, if applicable.

And it is Fed and state taxes as calculated on your tax returns (not simply the tax withheld) plus the FICA that was withheld.

The HSA is protected by the treaty, since it is set up primarily to provide employee benefits, thus is not taxable in Canada unless taxed in US.

Article XXI(2)

No need to resurrect 10- year old posts.

So, look at the date of my post. Previous to the relief.

You file the request for ITINs along with your return.

HRBlockheads do not know anything about non-US citizen taxes.

Once you get ITINs they will all be treated like US residents.