US Cross-Border Tax Blog

Published by W.L. Dueck LLP

Posts filed under ‘Gift Tax’

AndersenTax

Cross-border Gifts – Application of Article XIII – Gains

Last month, we described a situation where a Canadian resident, nonresident alien of the US used the Canada – US Income Tax Convention (“Treaty”) to reduce their overall tax liability on employment income earned in the US.  The second part of our Treaty example concerns the use of Article XIII to treat gains similar for US and Canadian tax purposes to reduce the overall tax on the gain.  The facts, amounts and details, while theoretical, represent clients’ situations we have… Read More

AndersenTax

US Gift Tax Exposure on Joint Ownership of Property

The most common way spouses hold property in Canada is joint tenancy with right of survivorship. Joint ownership provides each joint tenant an undivided interest in the property and when one spouse dies, the property immediately passes to the surviving spouse without probate. In the case where one spouse is a US citizen and the other is not, care should be exercised when creating or terminating joint tenancy as certain transactions may trigger US federal gift tax for the unsuspecting… Read More