Ignorant of requirements to report rrsp

[kyh]

What would you recommend to someone that has not reported their rrsp and has been living in the US for several years? Do I now report and plead to the IRS?
Thanks for your help.

[nelsona]

You should go back six years. I've dealt with this extensively in other threads. Look for Rev Proc 2002-23 and Form 8891.

[kyh]

Nelson,
I found all your old messages. I think I can figure this out.
Can we send the TD F 90-22.1 to the Dept. of Treasury right away and then amend the taxes for 2002 -7 as soon as I can get them completed? Or shoud they go at the same time. Will the TD trigger a problem at the IRS?

Thanks for all your help.

kyh

[nelsona]

I would be sending the TD for 2007 now.

[kyh]

Nelson,
Thank you so much. I have a question on the f8891. We will be filing 1040x and sending in the 8891 for 2002-2007. Should I answer Yes to 6a on all 8891 forms: Have you previously made an election to defer US income tax?
We entered the US in 1994 but have not filed anything except checking that the box on schedule b telling that we have accounts in Canada. Will that cause an issue with us not reporting cap gains for year before 2002?
Do we ever check the 6a "no" box?

[nelsona]

You would check 'no' on the 2002 form, and then make the election on it. The rest will be yes: 2002.

You can forget about proir years. However, you should be working on determining the VALUE of your RRSP when you enterd US, as this will impact your eventual US tax liability on the RRSP, as I've often descibed here.

[kyh]

Nelson,
Thank you so much. Will we get a confirmation from the Dept of Treasury about our TD f 90-221 2007 and from the IRS on the 8891 or will we just assume all is well until they say otherwise?
Thanks again.
KYH

[nelsona]

They never acknowledge TD form. They will likely acknowledge receipt of your 1040-X's

[kyh]

Thanks again for all your help!