Dear David,
Enjoy your interesting e-mail letters of information. We are
planning
to sell our home and investments here in Canada such as a few stocks and
mutual funds and move back to the U.S. We are landed immigrants, but have
retained our U.S. citizenship. We keep hearing about a Departure Tax and
have been wondering how it would effect us.
Thanking you in advance.
BXXXXXXX XXXX
-----------------------------------
Ingram replies:
Before you move back to the US, take out your Canadian
citizenship.
OTHERWISE, WHEN/IF YOU DECIDE TO MOVE BACK, YOU WILL HAVE TO GO THROUGH THE
WHOLE PROCESS AGAIN and the bar has risen.
On the other hand, if you get your Canadian citizenship, there is NO
disadvantage I know of and lots of advantages.
Departure tax is not applied against real estate or RRSP's.
All other assets are deemed sold and any capital gains tax incurred must have
tax paid or security posted with the CCRA.
Departure tax also applies to real estate you own outside of Canada if you have
been here ten years. so if you had moved here from Texas 15 years ago and a
piece of property in San Antonio or Padre Island has doubled in value, you would
owe tax to Canada but you can post security with the CCRA until you sell the
item. You do not have to pay cash right now.
ingram
>
> David Ingram
> 108-100 Park Royal South
> West Vancouver, BC, CANADA
> V7T 1A2
>
> (604) 913-9133 Fax (604) 913-9123
> Cell (604) 657-8451
