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Tax Issues
New Tax Treaty between Canada and U.S. signed Sep 21,2007
HOT TOPIC
Many major changes in the 38 page document. We have not completed our
review of the impact these changes may have. U.S. LLCs are now
recognized by Canada. IRAs and 401(k) contributions may be deducted on a
Canadian return. RRSP deductions are allowed on a U.S. return. Many of the
other documents below are no longer current. To review the complete
document click on the link below:
Canada U.S. Tax Treaty Changes - Fifth Protocol
Taxable
Portion of RRSP withdrawals for US taxpayers
Computing the nontaxable portion of an RRSP
withdrawal for a US citizen or resident can be a daunting task. Even the
rules for lump sum withdrawals or RRIFs and annuities are quite different.
The first thing to do is determine your "investment in the contract" Part
1 of our new worksheet is now available and can be downloaded to help
determine your cost for US tax purposes. Click on the link below:
Summary of RRSP Contributions and Earnings Worksheet
Part 1 of our new worksheet to help determine the nontaxable portion.
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Taxable Portion of Pensions Derived in the U.S. for Canadian Residents
The attached paper was prepared for Canadian
resident recipients of pensions from the United Nations - a U.S. source
pension. The Canada U.S. Tax Treaty allows for taxing the pension in
Canada under U.S. rules. The topics covered cover most tax issues
for both US and Canadian residents on determining the lower taxable
portion. In many cases both contributions by the taxpayer and the employer
can be excluded.
Taxation of UN pensions for Canadian Residents
Internal Revenue Service and
Canada Revenue Information |
