Personal Tax Solutions for US & Canadian Taxpayers

Every US citizen and resident alien is required to file a federal income tax return if their gross income exceeds certain thresholds. For the 2026 tax year, the standard filing thresholds are $14,600 for single filers and $29,200 for married couples filing jointly. Even if your income falls below these amounts, you may still want to file to claim refundable credits such as the Earned Income Tax Credit or to receive a refund of withheld taxes.

The primary form for individual tax filing is the IRS Form 1040, which serves as the foundation for reporting all sources of income. Depending on your financial situation, you may also need to attach additional schedules: Schedule A for itemized deductions such as mortgage interest, state and local taxes, and charitable contributions; Schedule C for self-employment income and business expenses; and Schedule D for capital gains and losses from the sale of stocks, real estate, and other investments.

The standard filing deadline for US individual tax returns is April 15 of each year. If you need additional time, you can request an automatic six-month extension by filing Form 4868, which extends the deadline to October 15. However, an extension to file is not an extension to pay — any estimated taxes owed are still due by April 15 to avoid interest and penalties. For 2026, the standard deduction has increased to $15,000 for single filers and $30,000 for married couples filing jointly, reflecting annual inflation adjustments by the IRS.

US citizens living in Canada face a unique tax situation: they must file both a US Form 1040 with the IRS and a Canadian T1 General return with the CRA each year. The United States taxes its citizens on worldwide income regardless of where they reside, while Canada taxes residents on worldwide income as well. This creates a potential for double taxation on the same income, which is addressed through the US-Canada Tax Treaty and the Foreign Tax Credit mechanism.

The Foreign Tax Credit (Form 1116) allows you to offset taxes paid to Canada against your US tax liability, effectively preventing double taxation on the same income. However, the credit has limitations — it cannot exceed the US tax attributable to your foreign-source income. For Canadian registered accounts, RRSPs receive favorable treaty treatment on your US return, but TFSAs are not recognized as tax-sheltered accounts by the IRS, meaning investment income inside a TFSA is taxable on your US return each year.

Currency conversion adds another layer to cross-border tax filing. The IRS requires that all amounts be reported in US dollars, typically using the average annual exchange rate published by the IRS for the relevant tax year. Certain US states, notably California and New York, may continue to claim you as a tax resident even while you are living abroad, depending on factors such as maintaining a home, driver's license, or voter registration in that state. Our cross-border specialists coordinate both your US and Canadian returns together to ensure credits are properly applied and no income is taxed twice.