Search found 81 matches

by Ron.Henderson
Thu Feb 13, 2020 1:35 pm
Forum: Canada / United States Tax & Accounting
Topic: Does my Canadian Wife need to file US taxes
Replies: 10
Views: 5999

Re: Does my Canadian Wife need to file US taxes

Indeed, reporting nothing at all is safer and smarter than reporting something but not everything. Compliance may be necessary for dual citizens with cross-border financial or employment ties, but it's certainly not recommended for those who live and work exclusively in Canada. Fortunately the compl...
by Ron.Henderson
Wed Feb 12, 2020 8:59 pm
Forum: Canada / United States Tax & Accounting
Topic: Does my Canadian Wife need to file US taxes
Replies: 10
Views: 5999

Re: Does my Canadian Wife need to file US taxes

The point is simply that dual citizens are perfectly free to enjoy all the benefits of TFSA accounts provided they don't report them to the IRS. As registered accounts are not included in FATCA reporting, the only way the US will learn about them is via tax filing. There's a fair bit of risk associa...
by Ron.Henderson
Sun Feb 09, 2020 12:29 pm
Forum: Canada / United States Tax & Accounting
Topic: Income in both US and Canada
Replies: 9
Views: 4173

Re: Income in both US and Canada

PPS If you actually plan to work in the US for a number of years - either living there or commuting - then you probably need to do this all correctly, because you may build up some retirement savings or other assets. But if you were just a Canadian with US citizenship by parentage, living in Canada,...
by Ron.Henderson
Sun Feb 09, 2020 12:27 pm
Forum: Canada / United States Tax & Accounting
Topic: Income in both US and Canada
Replies: 9
Views: 4173

Re: Income in both US and Canada

PS The FATCA reporting only happens if you identify yourself as a US citizen to your Canadian bank. Being born in Canada, you have no reason to do this.
by Ron.Henderson
Sun Feb 09, 2020 12:25 pm
Forum: Canada / United States Tax & Accounting
Topic: Income in both US and Canada
Replies: 9
Views: 4173

Re: Income in both US and Canada

Main point being, with the exception of FATCA reporting (the IRS receives year-end balances and interest/dividend data on certain types of Canadian accounts, though not RRSP/RESP/TFSA etc.), the US doesn't know anything about your Canadian income, and vice versa. If you are only planning on commutin...
by Ron.Henderson
Sun Feb 09, 2020 12:21 pm
Forum: Canada / United States Tax & Accounting
Topic: Income in both US and Canada
Replies: 9
Views: 4173

Re: Income in both US and Canada

US law is that all US citizens no matter where they live must file US tax returns, though they typically owe zero because of foreign tax credits or the earned income exclusion. In reality the compliance rate is less than 10 percent. For you, a Canadian born in Canada, living in Canada, filing US tax...
by Ron.Henderson
Sun Feb 09, 2020 12:04 pm
Forum: Canada / United States Tax & Accounting
Topic: Income in both US and Canada
Replies: 9
Views: 4173

Re: Income in both US and Canada

Is it necessary to file US returns at all? If there has been no withholding - it's just some sort of stipend from the school - and you don't need a refund, then possibly you can avoid the paperwork hassle. Although you are a dual citizen, as long as you are living in Canada with no US assets, it's b...
by Ron.Henderson
Fri Feb 07, 2020 10:51 pm
Forum: Canada / United States Tax & Accounting
Topic: Does my Canadian Wife need to file US taxes
Replies: 10
Views: 5999

Re: Does my Canadian Wife need to file US taxes

Note that, in theory at least, neither RESPs nor TFSAs are reported to the IRS under FATCA. A US citizen in Canada is still free to take advantage of the Canadian tax benefits, while choosing not to report them to the IRS. (Dual citizens with no US assets are of course far better off not filing at a...
by Ron.Henderson
Thu Jan 09, 2020 12:59 pm
Forum: Canada / United States Tax & Accounting
Topic: Resp for dual national child
Replies: 6
Views: 4166

Re: Resp for dual national child

Note that the above is general advice applying to all countries. In Canada it's very easy to be a dual citizen, there is no denial of banking services or employment discrimination, and FATCA enforcement is extremely loose so even those born in the US can avoid reporting by declining to identify them...
by Ron.Henderson
Thu Jan 09, 2020 12:15 pm
Forum: Canada / United States Tax & Accounting
Topic: Resp for dual national child
Replies: 6
Views: 4166

Re: Resp for dual national child

Now why would you want a Canadian-born child to start filing 1040s at the age of 18? What a silly thing to do. I'm attaching a text that I've seen posted to a few different groups, which has some good advice on the subject of kids born outside the US with a claim to US citizenship: -----------------...
by Ron.Henderson
Thu Dec 26, 2019 7:37 pm
Forum: Canada / United States Tax & Accounting
Topic: US/CANADA Accountant recommendation?
Replies: 4
Views: 3223

Re: US/CANADA Accountant recommendation?

Stay away from any accountant who recommends filing a 3520 or 3520A for any type of registered account (RRSP, RESP, TFSA etc.). Bad idea. Bad things will happen.
by Ron.Henderson
Thu Dec 12, 2019 1:22 pm
Forum: Canada / United States Tax & Accounting
Topic: US/CANADA Accountant recommendation?
Replies: 4
Views: 3223

Re: US/CANADA Accountant recommendation?

Do not even consider filing 3520/3520-A forms for an RESP, unless you'd enjoy one of the $10k fines that the IRS has been handing out like candy. More on this issue here: https://www.taxconnections.com/taxblog/great-news-for-irs-form-3520-a-filers-that-effects-thousands-of-taxpayers/ Whether you sho...
by Ron.Henderson
Thu Dec 05, 2019 12:07 pm
Forum: Canada / United States Tax & Accounting
Topic: Working in the USA after giving up Green Card
Replies: 4
Views: 3885

Re: Working in the USA after giving up Green Card

Based on past experience I don't find that the border guards read their own notes or apply the rules very consistently. I had the same "you need a visa for two days of meetings" BS lecture once, then he noticed a US birthplace and after a long lecture about needing a US passport, had to le...
by Ron.Henderson
Wed Dec 04, 2019 1:11 pm
Forum: Canada / United States Tax & Accounting
Topic: TFSA GIC Form 3520
Replies: 3
Views: 2641

Re: TFSA GIC Form 3520

Avoid 3520 forms like the plague.
by Ron.Henderson
Sat Nov 30, 2019 6:41 pm
Forum: Canada / United States Tax & Accounting
Topic: Working in the USA after giving up Green Card
Replies: 4
Views: 3885

Re: Working in the USA after giving up Green Card

Unfortunately there's no "US customs guy needs to stop being a dick" visa. Ridiculous. If there are any stamps or stickers alerting customs to past green cards, you may be able to solve this problem with a clean Canadian passport. Presumably you have US assets after 10 years down there so ...