u.s. persons living in canada risk double taxation
TRANSCRIPT
“I’m a certified
financial planner. I
work with successful
professionals and
business owners
who are U.S citizens
living in Canada.”
“The issues are
complex and no
one wants to
make a mistake
when it comes to
the IRS.”
“If you are a US Person and you are accumulating wealth in a Canadian corporation… a lot of the tax planning that you’re doing in Canada may not work.”
“People use corporations …in order to defer taxes…and it works for a Canadian tax purposes; However, [The IRS] might look through that corporation and tax you personally on all of the income that’s being earned on the corporation.”
“Once you get into these
rules for foreign
corporations, you’re
actually paying tax on the
US side personally, and
not on the Canadian side,
so there is no tax to credit
against the other.”
~ Jean Schnob
“The timing on the credit of
Tax makes it so that you will
wind up paying double tax.”
~ Jean Schnob
“You will be paying tax in
the US now…then you will
be paying tax in Canada
later when you take money
out of the corporation and
you will be paying personal
taxes on a dividend…”