reporting TFSA interest in 1040

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SergeP
Posts: 79
Joined: Mon Mar 09, 2009 10:38 pm
Location: hawaii

reporting TFSA interest in 1040

Post by SergeP »

I became a US tax resident in 2022. I still did not close all my TFSA accounts because they were invested in GICs. As IRS does not recognize Canadian TFSA I have to add the interest from these GICs to 1040. What would be the best way to show this income in 1040. Obviously I do not have any T5 slips for this income and can use only my bank statements. Thank you.
Serge
nelsona
Posts: 18404
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: reporting TFSA interest in 1040

Post by nelsona »

IRS rarely asks for proof of income. You simply report the income on Schedule B.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
ND
Posts: 292
Joined: Thu Feb 21, 2013 5:28 pm

Re: reporting TFSA interest in 1040

Post by ND »

"IRS rarely asks for proof of income."

Hope you're not licensed whereby subject to Circular 230 bc if you are you just made a public violation of it with that statement.
nelsona
Posts: 18404
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: reporting TFSA interest in 1040

Post by nelsona »

Well, if you bothered to read by signature, you would know that answer.

I merely stated that they did not require any proof to be sent in and categorically stated that they needed to REPORT THE INCOME.

Keep your professional indignation for elsewhere, perhaps on your own professional website instead of someone else's.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
agrisiva
Posts: 56
Joined: Sun Mar 18, 2012 1:27 pm
Location: Vancouver, BC

Re: reporting TFSA interest in 1040

Post by agrisiva »

What other American forms do you have to file in regards to TFSA in Canada? I heard there is a whole bunch of complicated forms
Diskdoctor
Posts: 75
Joined: Wed Apr 21, 2010 9:46 am
Location: Winnipeg

Re: reporting TFSA interest in 1040

Post by Diskdoctor »

There are multiple threads on TFSAs in this forum. It's worth taking a read through some of them.

Many of us file the forms 3520/3520A as if a TFSA were a trust.

Some have made the argument it is not a trust by American tax law and therefore those forms are not required.
formerpatriot
Posts: 62
Joined: Mon Feb 23, 2015 4:13 pm
Location: Montreal

Re: reporting TFSA interest in 1040

Post by formerpatriot »

My wife used to be a dual citizen (Canada-USA) living in Canada.
She had a TFSA. To keep things simple and to avoid potential problems, she invested only in GIC within her TFSA.
All interest was declared on schedule B.
We did everything in good faith, to the best of our knowledge.
Some years ago she renounced her US citizenship.
One less thing to worry about.
FormerPatriot in Montreal
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