RRSP's beneficiary and annuitant in f8891

tsanah · Post by **tsanah** » Wed Mar 30, 2011 8:51 pm

on my two TD's RRSP, I put my mother and daughter as beneficiaries, and their names are on the statements. My mother lives in China and my daughter lives in Canada.

At that time, I thought beneficiary was who could take over the money upen my death. This was long time ago when I was still in Canada.

Now, I look at the f8891, I understand that I really do not need to make an election, and I did not have to pay tax as long as no distributions recived

Item 10 (undistributed earning) is not even for an annuitant to fill).

So, I really don't owe any tax to IRS in the event of extension of making election of deferral, simply I just claim as an annuitant.

My approach with OVDI on RRSP will be 1. if they let me back file to make an election, I claim to be beneficiary and annuitant. Otherwise, I am just an annuitant, and no tax owed to IRS, no penalty.
This form is really poorly designed.

ikeaidea · Post by **ikeaidea** » Wed Mar 30, 2011 9:25 pm

You are logically wrong. OVDI will not grant you 8891 extension. They are different department of IRS. If you are waiting for it, the result will not good for you.

The best you could do is file 1040X to back up filing 8891 forms for 6 years now. Using Beneficiary always, serch nelsona's post.

Doing it in advance with filing TD-F to Detroit.

Everything is fine as long as you doing it before they find you or caught you. You will not have argue space with OVDI for sure.

Don't put yourself in the bad position.

hymalaya · Post by **hymalaya** » Wed Mar 30, 2011 9:49 pm

Form 8891 is not handled by the group handles TD F90. I do not think you need to file TD F 90 for RRSP. I called 800-800-2877, option 2 and was told RRSP is not required to report in TD F 90 form. You can call to confirm.

tsanah · Post by **tsanah** » Wed Mar 30, 2011 9:51 pm

Thanks, and it is already done with OVDI. I am waiting for their acceptance. I will share my lesson with you folks. I hope it is the policy not the person that really matters. After all, it is all IRS. Once CI sends my case to IRS, it is civil matter and the policy is clear --- only funds with tax problem are subject to 5/15/25 % penalty.

I might end up hurting myself big time, this is no point of return now. Thanks...

tsanah · Post by **tsanah** » Wed Mar 30, 2011 9:57 pm

[quote="hymalaya"]Form 8891 is not handled by the group handles TD F90. I do not think you need to file TD F 90 for RRSP. I called 800-800-2877, option 2 and was told RRSP is not required to report in TD F 90 form. You can call to confirm.[/quote]

F8891 states "You may be required to file Form TD F 90-22.1...."

see the left bottom of 2nd page on f8891

ikeaidea · Post by **ikeaidea** » Wed Mar 30, 2011 10:14 pm

You'd better file 1040X with 8891 now. It doesn't hurt no matter OVDI grant you extension or not.

Assume you send tax return to Odgen rather than Fresno, which should be Fresno, do you think IRS will take your return? NO. Because you sent to wrong address wrong department. They will not transfer it to you. Same here. 8891 should be go with 1040X. No relationship with OVDI office. They are all IRS, but they will despoited you.

Go aheard for 8891. And for TD-F, it is up to you.

hymalaya · Post by **hymalaya** » Wed Mar 30, 2011 10:14 pm

The 8891 was from 2008. I was told RRSP is no longer required to report in TD F90. But it does not hurt just reporting it in TD F 90.

tsanah · Post by **tsanah** » Wed Mar 30, 2011 10:29 pm

here is extension letter on f8891. It seems to me that you need ask for a grant.

[url]http://www.irs.gov/pub/irs-wd/1051018.pdf[/url]

since i am already in the process of ovdi, any attempt to change the course will be viewed by CI as covering up evidence. Anyway, thanks for your kind concern....

Give my fate at the hands of ovdi, and will share my lesson for all -- win or lose is not only one person, if i lose big, IRS will lose huge for not keeping their words on their policy. They can not treat everyone like a criminal -- even criminal who turns himself in to make it right deserves a decent treatment..[/url]

hymalaya · Post by **hymalaya** » Wed Mar 30, 2011 10:40 pm

I think you will be fine. i do not think they will charge you for not reporting RRSP. I did not know anything about 8891 and TD F 90 until several days ago. I asked my Canadian friends and they've never heard it either.

tsanah · Post by **tsanah** » Wed Mar 30, 2011 10:40 pm

[quote="hymalaya"]The 8891 was from 2008. I was told RRSP is no longer required to report in TD F90. But it does not hurt just reporting it in TD F 90.[/quote]

such a big change must be highlighted on IRS web. I don't believe it until I see the link.

I do know that Canadian banking association has requested IRS to treat RRSP as non banking accounts. I will post a link of this document. Just like we don't consider IRA account as bank account.

I hope IRS will take this approach. Otherwise, it is just too easy to push people to the other side of the law.

hymalaya · Post by **hymalaya** » Wed Mar 30, 2011 11:00 pm

#6 and 7 are about IRA and retirement plans:

http://www.irs.gov/businesses/small/art ... 49,00.html