Where can I find information on what a trust actually is?

Fructose · Post by **Fructose** » Tue Feb 24, 2015 1:55 pm

I have a TFSA and so need to fill a 3520, but I'm also curious and would like to know what the actual definition of a trust is.

Why are TFSA's trusts but not RRSPs nor bank accounts nor pension schemes?

Why are apparently not all TFSAs trusts but most are? (http://forums.serbinski.com/viewtopic.php?t=9167).

I can't see any useful information on the 3520 regarding what it is that makes something a foreign trust or not.

nelsona · Post by **nelsona** » Wed Feb 25, 2015 11:00 pm

RRSPs are ABSOLUTELY trusts! That was decided in 2002 by IRS. Period.

That is why 3520 and then 8891 applied to RRSPS. The removal of 8891 din not change this fact, it merely changed how to report the trust.

For TFSAs, your "trustee" must tell you if it is NOT a trust, otherwise it is a foreign trust for IRS purposes.

Fructose · Post by **Fructose** » Thu Feb 26, 2015 12:50 am

Thank you.

Last year I hired a cross-boarder accounted to file my return, but there was only a 3520 done for the TFSA not for the RRSP. Therefore was that a mistake, why would be not have completed a 3520 for the RRSP (which is with TD Waterhouse).

MGeorge · Post by **MGeorge** » Thu Feb 26, 2015 9:31 am

As nelsona said, form 8891 replaced the requirement to file form 3520 for an RRSP.

Potassium · Post by **Potassium** » Thu Feb 26, 2015 11:35 am

Would anybody know what a Canadian brokerage account (holding stock, gold, cash) would be considered as from the IRA's perspective?

I'm planning to include it on my FBar but don't know if there are additional forms beyond that.

nelsona · Post by **nelsona** » Fri Feb 27, 2015 6:07 pm

Cdn brokerages cannot hold IRA's.

Potassium · Post by **Potassium** » Fri Feb 27, 2015 7:34 pm

I mean to say IRS not IRA.

What do IRS consider a Cdn brokerage account to be when I am declaring it.
i.e. might a 3520 be necessary for it or some other form?