Are TFSAs Trusts Under US Tax Law?

Are TFSAs Trusts Under US Tax Law?
This week’s question is a follow-up from last week’s blog post, but comes from Loretta from Quebec, Canada. The question is: So, are TFSAs considered trusts for US tax purposes? If so, what are the implications of that? Is it a trust? Again, here is the regulation defining operating trusts (the US defines 2 other ...

Are RESPs Trusts Under US Tax Law?

Are RESPs Trusts Under US Tax Law?

Reducing Your Asset Base When Surrendering US Citizenship

Reducing Your Asset Base When Surrendering US Citizenship

What if I Surrender US citizenship and Don’t Get into Tax Compliance

What if I Surrender US citizenship and Don’t Get into Tax Compliance
This week’s question is a follow up question from James from the Netherlands – for his friend (of course ) . The question is: What if I just surrender U.S. citizenship without doing anything regarding my taxes? What if I Simply Don’t File Form 8854? By failing to file form 8854, one remains a US ...

Taking Advantage of Your Canadian Retirement Account as a US Taxpayer

Taking Advantage of Your Canadian Retirement Account as a US Taxpayer
This week’s question comes from Kathleen from Canada. She heard that Canadian retirement plans (RRSPs) are treated as trusts for US tax purposes and wants to know how to meet the reporting requirements for US tax as well as the way it is taxed. Did you know that the US Treasury Department automatically defers taxation ...

How 2004 Made Renouncing Your US Citizenship More Difficult

How 2004 Made Renouncing Your US Citizenship More Difficult

Using a Split Onshore/Offshore Structure to Avoid US Social Security Tax (#2)

Using a Split Onshore/Offshore Structure to Avoid US Social Security Tax (#2)

Should Self-Employed Americans Abroad Keep Paying Social Security Taxes Even if They Don’t Have to? (#3)

Should Self-Employed Americans Abroad Keep Paying Social Security Taxes Even if They Don’t Have to? (#3)
And now, the final follow-up question from our digital nomad in Chiang Mai: Should I pay Social Security contributions or not? Before I delve into the subject, I want to note that skipping social security taxes is not a way to build wealth. The best way to build wealth is to generate more revenue. But ...

Are Americans Abroad Legally Required to Still Pay into the US Social Security System? (#1)

Are Americans Abroad Legally Required to Still Pay into the US Social Security System? (#1)
And this week’s question comes from a digital nomad Chiang Mai, and the question is: Do I have to contribute to Social Security? The Social Security Totalization Agreement US citizens living in countries which adhere to the Social Security Totalization Agreement only have to pay into the Social Security system of one country. If you ...

How to Stop Being a US Resident and Taxpayer

How to Stop Being a US Resident and Taxpayer