Nelsona,
What's the rational of withdrawing from RRSP earlier when one moves to the US?
Ed
outstanding loan in the Home Buyers Plan.
Moderator: Mark T Serbinski CA CPA
2 reasons, if yopu are young:
1. The reporting burden is annoying.
2. All growth once in US will be taxed at 25% (like I said, young person). Taking it early and paying 25%, will allow one to invest the remaining funds in 'better' incvestments, perhaps tax-feee, like one's home(s) in US. In any even the future gains will almost never be taxed at 25% after taken to th US.
3. If you return to Canada befor taking them, you will be beound to pay more than 25% on the withdrawals as a Cdn.
If there are special circumstances where you know you will be not working, and able to extract RRSPs at lessthan 25% then you might wish to wait, but otherwise...
1. The reporting burden is annoying.
2. All growth once in US will be taxed at 25% (like I said, young person). Taking it early and paying 25%, will allow one to invest the remaining funds in 'better' incvestments, perhaps tax-feee, like one's home(s) in US. In any even the future gains will almost never be taxed at 25% after taken to th US.
3. If you return to Canada befor taking them, you will be beound to pay more than 25% on the withdrawals as a Cdn.
If there are special circumstances where you know you will be not working, and able to extract RRSPs at lessthan 25% then you might wish to wait, but otherwise...
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
Hi Nelsona,
I am about to file taxes in the US first and then file T1 in Canada. Since my departure date is 01/01/2010 - my T1 will like like any other previous years - which is good.
I have quick question - I was was reading in your some other post that a person like me would have multiple choices of filing in the US namely, 1040, 1040NR and dual status. I have about 19K income for this year in the US and I have a wife who did not work in 2009 - (who has a SSN from many years back - she was a student in the US) and have a child who is 3 years old. What option among the 3 (1040NR, 1040 or dual status) would best suite me?
Ed
I am about to file taxes in the US first and then file T1 in Canada. Since my departure date is 01/01/2010 - my T1 will like like any other previous years - which is good.
I have quick question - I was was reading in your some other post that a person like me would have multiple choices of filing in the US namely, 1040, 1040NR and dual status. I have about 19K income for this year in the US and I have a wife who did not work in 2009 - (who has a SSN from many years back - she was a student in the US) and have a child who is 3 years old. What option among the 3 (1040NR, 1040 or dual status) would best suite me?
Ed
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jenisebhruvel
- Posts: 2
- Joined: Wed Apr 14, 2010 1:17 am
Buying a house and making it your home is a dream almost everyone cherishes, irrespective of the geographical boundaries.The American Dream refuses to diminish in sheen and size despite the lingering subprime dark clouds. However, the current situation is a goldmine of opportunity of a smart and savvy first time home buyer or investor.Here are many first time home buyers programs available. You may start by calling the city Housing Office in your city or the county housing office in the county in which you reside.