UScitizen,living in US with RRSP/RRIFand spousal RRSP

[skaternurse]

I am a US citizen living in the US for the last 20 year. No longer Landed Immigrant or any kind of legal Canadian Resident
I do have a Spousal RRSP/ RRSP and RRIF with distributions began the second half of 2023. Do I need to file in Canada? I have had my US taxes done complete with FBAR.

Thanks

[nelsona]

You should not have to report anything to Canada, assuming the following:
- Your RRSP and RRIF trustees know that you live in the US
- Your withdrawal was correctly withheld at a flat tax rate: 15% or 25%

You may wish to file a Cdn tax return if this RRIF/RRSP income makes up most of your total income.

For US:
How was your RRIF/RRSP income reported on your 1040? This income must be reported on your 1040, but typically, not all this income is taxable in US, as a portion of it was earned in Canada before moving to US. And the tax withheld by Canada should be used as a credit on your tax return.

[nelsona]

Just to clarify, the reason to file a Cdn tax return (known as a Section 217 return) would be to reduce the Cdn tax owed on the withdrawal. You are not required to do so, and as I said, you need to satisfy certain other world income conditions for it to benefit you.

[OdieKessler]

Since you are a US citizen and have received distributions from RRSPs, spousal RRSPs, and RRIFs in Canada, you will need to file this on your US tax return, which includes filing an FBAR and possibly Form 8938. On the Canadian side, you do not need to file a tax return unless you need to adjust your withholding tax (usually 15% or 25% under the Canada-US tax treaty).