The scenario may not be as far-fetched as one may think. Don't forget about the other leg of one's financial asset - real estate. Given that capital gain on sale of principal residence in Canada is not taxable, many retires sell their houses to buy a smaller one, and live on the proceeds of the gain and the positive difference between the bigger and smaller house. It is during those years when there are already income provided for to live on that one begin to draw from the RRSP/IRA just enough to produce $0 or minimal tax.
I agree that I should start deducting $3000 each year from now on. It is just that in case one is laid off tomorrow, and there is more than $3000 loss to deduct from, I am trying to see if there are ways to still capture the use of those loss in some future years.
Any way, thanks for all the help, and bye.
clarification on new cost base for US reporting
Moderator: Mark T Serbinski CA CPA
Re-read my response. The original poster gave what he thought were the 3 choices on how to treat holdings when moving. I told old him only 2 were valid for non-registered investments. the third (B) was the only one vaialbale to RRSPs. A and C are not for non-registered investments.
In any event, IRS has released, and I have discussed, precise manner in which non-sheltered investements held at the time of emigration to US from canada are to be treated, so I would not focus on 5 year old threads, since the issue has been fully addressed in the new procedure.
In any event, IRS has released, and I have discussed, precise manner in which non-sheltered investements held at the time of emigration to US from canada are to be treated, so I would not focus on 5 year old threads, since the issue has been fully addressed in the new procedure.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best