I have a question concerning fling late returns with the 8891's for the last 6 years.
In order to have income in an RRSP deferred doesn't IRS have to approve this "foreign tax shelter" vehicle before the income is being earned within it?
If so, how can anybody who tries to backfile returns now be able to meet the deferral condition(s) set out by the IRS?
Filing late returns 8891's
Moderator: Mark T Serbinski CA CPA
RRSPs are historically recognized and protected since 1985, so there is no need for such approval (some tax lawyers want to file for this to collect huge fees).
Back file without worries.
Back file without worries.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing 
While RRSP tax deferral does not need IRS's approval, it is upto the taxpayer who wants to make such an election.
The so-called IRS approval is a reqeust for time extension for those who failed to make a timely election. This is commonly refered as 9100 relief.
In practice, taxpayers often just do the back files -- it seems nobody has got into any trouble.
Recently, someone made contact with IRS OVDI hotline, he/she was told that no need for such a request for late filing f8891.
The so-called IRS approval is a reqeust for time extension for those who failed to make a timely election. This is commonly refered as 9100 relief.
In practice, taxpayers often just do the back files -- it seems nobody has got into any trouble.
Recently, someone made contact with IRS OVDI hotline, he/she was told that no need for such a request for late filing f8891.