by Polaris Tax Counsel | Apr 27, 2020 | Cross-Border Tax
Many Canadians own some form of life insurance on the assumption that the insurance would provide tax-free funds to support their beneficiaries. While this is generally true, complex tax rules can lead to a different result in the cross-border tax context. What is...
by Polaris Tax Counsel | Apr 14, 2020 | Cross-Border Tax, News
There are, by one estimate, 825,630 US citizens in Canada. Even if they owe no tax, nearly all are still supposed to file US federal income tax returns. Despite the penalty risk, many US citizens outside the US do not file US tax returns. To date, the consequences of...
by Polaris Tax Counsel | Mar 24, 2020 | Cross-Border Tax
Recently, the world woke up to the health risks posed by COVID-19. Society at large is taking steps to curtail the impact of the virus. Closer to home, the virus should prompt people, especially those who are older, to make sure their affairs are in order. People...
by Polaris Tax Counsel | Mar 18, 2020 | Cross-Border Tax, News
The IRS has just announced limited relief for certain taxpayers due to the COVID-19 pandemic (Notice 2020-17). However, as currently drafted, this relief would not apply to US citizens or residents residing abroad. In particular, section III of Notice 2020-17 grants...
by Polaris Tax Counsel | Mar 3, 2020 | Cross-Border Tax
New IRS guidance exempt RESPs and RDSPs, but not TFSAs from annual US information reporting requirements. Our view remains that TFSAs are not foreign trusts and thus not subject to 3520 + 3520-A reporting (read more). All told, with this Revenue Procedure US taxpayers...
by Polaris Tax Counsel | Oct 30, 2019 | Cross-Border Tax
Many Canadian tax-exempt investors invest in US equities through a standard Canadian pooled fund. This means that they pay the 15% US dividend withholding tax on US equity investments. This can be refunded. To illustrate, assume that a Canadian charity invests in...
