Canadian Citizen working in USA - mutual funds long term

[iammadhu]

Hi,
Am canadian citizen working/living in USA and have some CDN funds in canadian bunk... I want to invest in canadian mutual funds.

If i just buy and don't sell, do i still have to report 'gains' as income to IRS yearly? or is it only applicable when i sell?

Thanks.

[nelsona]

First, your bank or dealer is not allowed to deal with you. you MUST tell them you live in US, and will likely have to sell.

And they are subject to departure tax, since you have already left.

For US they will be treated like any other mutual fund, with taxable events like distributions and sales.