US Taxpayers
- A US taxpayer is one who is either a citizen of the US, a green card holder
or resident under a days test commonly known as the “substantial presence
test”. The following points are of interest.
- US taxpayers are required to file returns in the US regardless of where they
live. Failure to file the returns may result in substantial penalties and loss
of deduction if caught later.
- US persons living in Canada with large incomes will normally be subject to
US alternative minimum tax. This tax is not a creditable tax in determining
Canadian taxes, resulting in substantial double tax. We can show you how to
avoid this problem!
- US taxpayers must now file annual reporting in regard to their Canadian RRSPs’.
Non US persons with US person spouses should take special steps when preparing
the will, to avoid property falling into the US estate tax net.
- Canadians who have US source gambling winnings subjected to withholding tax
may be able to recover a substantial part or all of the tax by filing a US
return.
