Insights & Articles
Canadians with United States Filing Obligations
A recent article by Krystal Kanhai and Pinaki Gandhi of KPMG LLP commented on the Voluntary Disclosure Program available to US citizens living in Canada who have not complied with their US filing obligations.
Canada Revenue Agency (“CRA”) is now regularly forwarding information about US citizens living in Canada to the Internal Revenue Service (“IRS”). The first transmission took place by CRA to the IRS on September 30, 2015. The information provided by CRA to the IRS comprised approximately 155,000 information slips. Reporting requirements include annual filing obligations regarding foreign financial assets that exceed certain thresholds.
It also extends to US persons who have signing authority or an interest in foreign financial accounts with an aggregate value exceeding $10,000 USD.
The failure to comply can lead to crippling and substantial penalties.
A number of strategies exist for correcting overdue obligations.
Please contact Keith Trussler, Linda Smits or Ainsley Furlonger with your questions regarding these obligations and problem solving strategies.