US Cross-Border Tax Blog

Published by W.L. Dueck LLP

Welcome to W.L. Dueck & Co. LLP’s US and cross-border tax blog. We are a team of over 20 tax professionals that work exclusively on US and cross-border tax issues. Our clients include Canadian businesses and individuals with investments in the US and US citizens resident in Canada. We provide both tax consulting and tax return preparation services. We work with individual and business clients and their legal, accounting and financial advisors.

WLDTax

Low Risk US Tax Compliance

On June 26, 2012 the Internal Revenue Service (“IRS”) announced new streamlined filing procedures (“SFP”) for non-resident US taxpayers to go into effect September 1, 2012. SFP is available to US persons and dual citizens living outside the US who have failed to timely file US federal income tax returns or disclose their non-US bank and financial account information and now wish to become compliant with their US income tax filing obligations. SFP differs from the Offshore Voluntary Disclosure Program… Read More

WLDTax

US Federal Income Tax – Gains on Sale of your Home Part 1

Generally, Canadians living in Canada are not subject to tax on gains from the sale of their principal residence. However, for a Canadian resident who is also a US citizen or resident (including permanent resident or “green-card” holder and those meeting the “substantial presence” test), the same capital gain may be taxable on his or her US income tax return. Under US Federal tax law, an individual may exclude from income up to US$250,000 of gain from the disposition of… Read More

WLDTax

US Tax vs. Canadian Tax

There are many similarities between the US and Canada, but there are some significant distinctions between US and Canadian tax law especially for US citizens resident in Canada, including permanent residents of the US (“green-card” holders). For the unwary those distinctions may result in substantial US tax liabilities where those differences are not identified in advance. The discussion below highlights three differences, among many, that may trigger unexpected US tax liabilities for US persons resident in Canada. Sale of Principal… Read More

WLDTax

US Filing Obligations of Non-residents of the US

There has been a lot of attention in the media about US citizens who live in Canada and their US tax filing obligations. Non-US citizens who are not resident in the US (“NRA” for non-resident aliens) may also have US tax filing obligations where they work in the US, sell US real estate or even travel to the US. Work in the US In general terms, NRAs who earn employment income while working in the US are subject to US… Read More

WLDTax

US Persons Holding Non-US Mutual Funds

US citizens and lawful permanent residents (green card holders) who hold certain investments may unknowingly be subject to adverse US tax implications where the investments are characterized as investments in Passive Foreign Investment Companies (“PFICs”). PFICs include non-US mutual funds and exchange traded funds (ETFs) which are typically organized as corporations or trusts in Canada. The PFIC rules may also apply to other non-US entities, treated as corporations under US tax law, that earn significant amounts of investment income or… Read More