In Part 2 of our look at tax issues for Canadians moving to the U.S., we continue the discussion of opportunities and problems including taxdeferred savings plans (like RRSPs and TFSAs), the potential advantages of foreign tax credits, and the impact of the CanadaU.S. tax treaty on the sale of a principal Canadian residence. We also talk about the pros and cons of obtaining a Green Card, U.S. estate and gift taxes as well as foreign controlled corporations and passive foreign investment companies (like mutual funds). Each of these subjects raises considerations regarding tax obligations and associated reporting requirements. The key takeaway is to plan your move BEFORE you move so that you capitalize on available opportunities and minimize any adverse tax consequences.

For more information on tax residency for Canadians and Americans, you may want to watch this video:    • Tax Residency for Canadians and Ameri...  

As with any tax situation, the specific facts involved will affect how the law applies and determine the outcome. This video provides general commentary and is not intended to be legal or tax advice. If you have tax questions about moving to the U.S., you should seek professional advice in advance of a move. We invite you to contact us to discuss your situation. We can explain your options and implement a plan that best achieves your goals.