Questions About 3520/3520-A for Step-Father's Estate

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GPK
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Joined: Fri Sep 29, 2017 8:38 pm

Questions About 3520/3520-A for Step-Father's Estate

Post by GPK »

Hi Everyone,

My Stepfather was a dual U.S. / Canadian citizen, and the only person in my family with U.S. ties. He died last year, and to try to help save my mother thousands (if not tens of thousands of dollars in U.S. tax prep fees, I agreed to complete his outstanding 2013-2016 U.S. tax filings. I have a degree in accounting from a Canadian University, but I'm not a CPA yet, and I began this process with virtually no U.S. tax knowledge. Like many people who end up here, I have struggled to make sense of many of the U.S. tax forms, and I'm hoping someone here can help.

My Step-Father held 2 TFSAs--one he opened in 2009, and the other in 2013. He owned Canadian Mutual Funds in one of the accounts, but I'll save my questions about form 8621 for a separate post.

In accordance with his will, ownership of all of his assets, including the TFSAs passed to my Mother on the date he died. This is something that is causing me problems, as she doesn't have any U.S. status. She doesn't have an ITIN either, though we intend to submit an application for her.

My first question is whether the 3520/3520-A forms should be completed any differently for the years he was alive versus the year in which he died?

He never filed a 3520 or 3520-A for either Tax Free account, so I am retroactively filing them. From 2009 through 2015 he was alive, so should I fill them out using him as the U.S. Agent and U.S. owner, and use his SIN? Or should all the forms be filled out from the stand point that he has already died, and that my Mother is the owner?

My next question is, when I fill out 3520/3520-A forms with my mother as the owner, whether it's only for 2016 or all of the outstanding forms, can she be named as both the "U.S. Agent" a "U.S. Owner" despite not having any U.S. status? For her Identification number, would I just fill in "Applied For", as we will be submitting an ITIN application for her separately?

I have other questions, but I'll leave it there for now. Thanks in Advance!
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