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Canadian Investing / Canada (General)


Subject:  Re: Suggestions on US tax filing for NR Canadian Date:  12/22/2012  3:12 PM
Author:  rev2217 Number:  63166 of 64584


Oh. I did not know that. But then again between the RRSPs, RESPs, and TFSAs I don't do any after-tax investing (well, aside from the TFSA). But good to know, thanks.

Actually, the reciprocal tax treaties have not yet caught up with retirement accounts that receive special tax treatment. If you hold a foreign investment in such an account, the custodian generally will withhold taxes from dividends and capital gains on those foreign investments for the respective foreign government.

Also, most countries give a credit against their own income taxes for taxes paid to a foreign government on foreign investments. Unfortunately, taxes paid by a retirement account typically do not qualify for such credits because the retirement account typically is considered to be a separate entity from its owner.

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