Do we have to report Canadian TFSA, RRSP, T2? If so, please provide details

[vansree]

Hi,

I am Canadian Citizen working on TN and Tax Resident of California.

1) I and My wife has RRSP and no new contribution, only the old amount sitting

2) I have TFSA account and no new contribution and generated small interest.

3) I have (passive) BC corporation and has T2 filed in Canada and taken care by Canada Accountant. It is overall negative and had only interest income in the corporation.

4) FYI, I reported all these in FBAR.

5) I have personal interest income generated in Canada Savings accounts. I am aware that we should report this one. But not sure whether we have to file Canada for just interest income? I believe NO to Canada filing. Checking. For USA, we add as (Regular) interest income.

Question:
Do we have to report Canadian TFSA, RRSP, T2? If so, please provide details

Thanks
Sree

[nelsona]

1. To IRS, no income reporting, but to California, you must report internal income for the year.
2. Report income on both returns
5. Interest income is not reported in Canada for non-residents. You filed a departure return the year you left, yes?

These are questions that have been answered numerous times, happy browsing.

[vansree]

1) RRSP: IRS: No, California: Report only Income? Luckily for me this time it did not generate any income. Do I have to still file any form? what forms I have to file?

2) TFSA interest income: My accountant (not CPA) is saying not needed, as it has not given any T5 or interest slip to you.
Hence confused. Please clarify.

3) Please, could you reply? what forms I have to file?

4) -

5) I believe my Canadian accountant filed. I will report in US Return as (Regular) Interest income.

Your forum is very useful. Thank you Nelsona.

Regards
Sree

[nelsona]

RRSP no special form.
TFSAs are not recognized in US, therefore YOU must determine any internal income and report it to IRS and California, every year.

Your accountant will have to answer your corporation questions, and any others.

[vansree]

Hi Nelsona,

Thanks again for your reply.

You replied as "Your accountant will have to answer your corporation questions, and any others."

I showed your reply to my accountant (Indian) in Santa Clara. He is not CPA. He said
"
We have faced a scenario with India but little new to Canada. Hope we can do this.
For RRSP, we don't have to report anything.
For TFSA, Bank did not give any income slips for TFSA Savings account, so we don't have to report.
For Canadian Company, I believe we have to do Form 3520/A, Form 5471, Form 8938 and other forms.
Fin Cen Form 114 (FBar), which you filed already.
"

He does not know based on his reply and hence posted here and seeking help.

Regards
Sree

[nelsona]

I have given you my answers. That is about all I can do.
Clearly your friend is not well-equipped to handle your case, since is incorrect on RRSP and TFSA.

[vansree]

Thanks Nelsona.

He now added one more form to the list: Form 8865

Thanks again. I will look for other Accountant again.