I’m a U.S. citizen residing in Quebec as a temporary worker under the NAFTA investor program.
I have investments with a handful of U.S. investment companies. Some investments are taxable others are sheltered retirement assets. Since I no longer have a residence in NY, the statements are mailed to the address of a relative in NY. These investment companies will not mail statements to Quebec because you have to be a U.S. residence to open a U.S. investment account.
Anyone know if there are specific rules or regulations regarding maintaining U.S. investment accounts while residing in Quebec? I assume the only requirement is to report worldwide income to both Canada and the U.S.
US Citizen Residing in Canada - keeping investments in U.S.
Moderator: Mark T Serbinski CA CPA
Your sheltered accounts are fine without any action on your part. You should be advising the managers that you are resident in Canada (specifically Quebec) to sse if they have problems with you managing your portfolio while in Quebec. They will or they won't.
Your non-sheltered investments are another story. You cannot actively trade in these accounts while in Canada. You can sell investments, but that is all.
From a tax point of view, your sheletered accounts remain so, without anything to report on your Canadian or Quebec return.
For your non-sheltered investments, you must remember that for Cdn tax purposes, your cost basis is now determined from the day you became resident in canada. So, a sale of an investment which you bought for $10, valued at $20 when you moved and then sold for $25, would have a $15 cap gain in US, but only a $5 cap gain in Canada. Conversly a stock bought at $20, valued at $10 when you moved at sold later at $15, would yield a $5 cap loss in US, but a $5 cap gain in Canada.
All other income you have will be reported identically in US and Canada, with foreign tax credits given for any foreign income you report.
The reporting rules for Canada and QC are almost identical. Just the method of determining the final tax/credits/deductions differ
Your non-sheltered investments are another story. You cannot actively trade in these accounts while in Canada. You can sell investments, but that is all.
From a tax point of view, your sheletered accounts remain so, without anything to report on your Canadian or Quebec return.
For your non-sheltered investments, you must remember that for Cdn tax purposes, your cost basis is now determined from the day you became resident in canada. So, a sale of an investment which you bought for $10, valued at $20 when you moved and then sold for $25, would have a $15 cap gain in US, but only a $5 cap gain in Canada. Conversly a stock bought at $20, valued at $10 when you moved at sold later at $15, would yield a $5 cap loss in US, but a $5 cap gain in Canada.
All other income you have will be reported identically in US and Canada, with foreign tax credits given for any foreign income you report.
The reporting rules for Canada and QC are almost identical. Just the method of determining the final tax/credits/deductions differ
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing 