Reporting closed mutual fund RRSPs

Pauline · Post by **Pauline** » Thu Apr 09, 2015 11:50 am

Hello,

I found lots of information about RRSPs and how they are taxed in this forum. However, I still have some questions about reporting obligations.

My husband and I closed 5 RRSPs (around 20k) in 2014, 3 of which were mutual funds. We were NR of US in 2013 so we did not report them last year.
We are considered resident aliens since Jan 1st 2014.

My questions:

1) Do we need to send form 8621 for the RRSP mutual funds?

3) Do we also have to send form 3520A/3520 since we closed these accounts? (I think that according to Rev. Proc. 2014-55, these forms are not necessary, but I want to be sure)

Thanks for your help.

nelsona · Post by **nelsona** » Thu Apr 09, 2015 1:13 pm

please read other threads on this topic.

Pauline · Post by **Pauline** » Thu Apr 09, 2015 4:40 pm

From what I read, I understand that while someone holds an RRSP, there is no need to fill form 8621, since the income is deferred till distribution from the plan considering the tax treaty.

But it is not clear from any of the posts if one has to fill form 8621 when there is a withdrawal from the mutual fund RRSP.

I would appreciate if you could help.

nelsona · Post by **nelsona** » Thu Apr 09, 2015 4:44 pm

RRSPs are completely exempt from 8621 PFIC reporting requirements; all other accounts ARE subject. I don't know where you would have read on this site that RRSPs were ever subject to 8621.

PFIC reporting does not depend on sale or no sale; it depends on holdings. You will need to report all non-RRSP Cdn mutual funds on 8621.

But , agin, RRSP have nothing to do with this.