Canadian GIC - any additional filing requirements?

ChromiumDioxide · Post by **ChromiumDioxide** » Tue Mar 10, 2015 12:33 pm

I already have some Canadian bank accounts which I report for my US returns (interest income, FBAR).

I'm considering opening some Canadian GIC accounts, before doing so I wanted to check if there are any complications to take into consideration when it comes time to file the 2015 US return? Or will I just treat them as I currently do for my Canadian bank accounts?

nelsona · Post by **nelsona** » Tue Mar 10, 2015 4:07 pm

Just the same.

rafa02 · Post by **rafa02** » Sun Dec 13, 2015 8:21 pm

So nelsona, as I understand, a GIC is considered "cash on deposit", and therefore there would not be an issue with any currency gain or loss on the principle. Is this correct?

nelsona · Post by **nelsona** » Mon Dec 14, 2015 6:51 am

Even cash on deposit is subject to currency gains, but only when it would be materially changed.
Since you would most likely have "bought" the GIC with C$ and then "sold" it into c$, this would not be a change triggering gains. It would simply continue to be part of your "basket" of C$, which would have some USD cost basis, based on when you first got this cash (ie, from a sale of stock or property, wages, etc)

rafa02 · Post by **rafa02** » Mon Dec 14, 2015 4:50 pm

makes sense...thanks