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US-Canada Tax Preparation

US-Canada Cross-Border Tax Services

Discuss your US and Canadian filing needs, account reporting and prior returns. Confirm the preparation scope and fees before starting an engagement.

Confirm Preparation ScopeUS and Canadian Filing NeedsTreaty and Account QuestionsUS-Canada Consultations
Who We Help

Cross-Border Tax Clients We Serve

Whether you live in Canada, work in the United States or split time between both countries, bring your residence dates, income records and prior returns to the consultation.

US Citizens Living in Canada

Living in Canada does not by itself remove US filing obligations. Your worldwide income, filing status, age and other filing triggers determine whether a US return is required. Review Canadian filing requirements separately and bring your prior returns and account records.

Canadians Working in the US

Bring your immigration status, residence history, move dates and income records. Discuss which US and Canadian filings need review and confirm the services included in your engagement.

US-Canada Dual Citizens

Bring your citizenship and residence history, income records and financial account details. Identify the returns and information reports needed in each country before agreeing to the preparation scope.

Canadian Snowbirds (Part-Year US Residents)

For snowbirds who are not US citizens or green card holders, count US days across three years, not just this year. The substantial presence test requires at least 31 days this year and a weighted total of 183 days. Day-count exclusions and residency exceptions need separate review.

Why It Matters

What Makes US-Canada Cross-Border Tax Complex

Review income tax returns, account reports and treaty provisions separately so the preparation scope reflects your circumstances.

Dual Filing Obligations

Determine filing requirements separately in each country. US citizens and residents abroad generally follow the same filing rules as those in the United States. CRA lists circumstances requiring a Canadian return and reasons to file for refunds, benefits and credits. A filing obligation does not by itself establish the tax owed.

The US-Canada Tax Treaty

The treaty addresses different income categories and relief from double taxation. Its saving clause generally preserves US taxation of citizens and residents, subject to exceptions. Identify the relevant article and eligibility before claiming a benefit.

RRSP, TFSA, and RESP Reporting on the US Return

Review RRSP deferral eligibility under Revenue Procedure 2014-55. For TFSA and RESP accounts, examine the account agreement, holdings and your role before determining US reporting. Foreign-trust reporting exceptions and PFIC filing rules have their own conditions; an account name alone does not settle every obligation.

FBAR and FATCA for Canadian Accounts

A US person generally must file an FBAR when foreign financial accounts in which they have a financial interest or signature authority exceed US$10,000 in aggregate at any time during the year; exceptions apply. Form 8938 is separate: thresholds depend on filing status and qualifying residence abroad, and specified assets and exceptions must be reviewed.

Principal Residence Gains

Canadian principal residence relief depends on qualification, designation and reporting; it does not exempt every home sale in full. The US exclusion has separate ownership and use tests, limits and exceptions. Review residence history, purchase records, improvements and any rental use before calculating either country’s treatment.

Social Security Totalization Agreement

US-Canada social security coordination and the separate Quebec understanding have their own coverage rules. SSA assigns self-employed residents of Canada to Canadian or Quebec coverage. A certificate establishes an exemption from US Social Security contributions; coverage should be reviewed separately from income tax.

Currency Conversion Complexities

US returns generally report amounts in US dollars. Apply the exchange-rate method appropriate to the item and keep the underlying records. Do not assume one annual average rate is suitable for every transaction or information return.

State Tax Obligations from Your Former US State

State tax needs a separate review of residency, move dates and income sources. California, for example, may tax a nonresident’s California-source income, and residents are taxed on worldwide income. Bring employment, business and property records rather than assuming a move ends every state filing requirement.

What We Do

Our US-Canada Cross-Border Tax Services

Use these topics to discuss your preparation needs. Confirm which services and filings are included in the written engagement.

US Form 1040 + Canadian T1 Preparation

Before starting, confirm which US and Canadian returns are included in your engagement and how information will be coordinated. Foreign tax credits are subject to eligibility and limitations; do not assume every payment in one country offsets tax in the other.

Foreign Earned Income Exclusion vs. Foreign Tax Credit Optimization

Compare the foreign tax credit and foreign earned income exclusion using your income, qualifying foreign taxes and eligibility. The exclusion requires foreign earned income, a foreign tax home and a qualifying residence or presence test. Taxes on excluded income cannot also generate a foreign tax credit.

RRSP Deferral Eligibility

Eligible individuals are treated as having elected deferral of undistributed Canadian retirement-plan income under Revenue Procedure 2014-55. Check eligibility and prior reporting before applying this treatment; an annual RRSP election statement is not generally required for eligible individuals.

TFSA Remediation and PFIC Cleanup

Bring TFSA agreements, investment statements and prior returns for review. Determine whether PFIC or foreign-trust reporting applies, including available exceptions, before deciding whether amended filings or investment changes are appropriate. This page does not recommend closing an account.

FBAR and FATCA Filing for Canadian Accounts

List foreign accounts, ownership, signature authority and values for a separate FBAR and Form 8938 review. These reports have different definitions, thresholds and exceptions. Confirm which filings are included in the quote rather than assuming every account requires both reports.

Cross-Border Relocation Planning

Before relocating, list your assets, residence history and planned transactions for review. Canadian departure rules apply to certain property, with exceptions. US expatriation rules require a separate review; moving across the border alone does not establish the tax outcome.

Streamlined Filing for Delinquent Filers

Start with an eligibility review before choosing a catch-up procedure. IRS Streamlined Foreign Offshore relief requires non-willful conduct, the applicable non-residency test and all other eligibility and submission requirements. Required tax and interest remain payable. Canadian disclosure options require a separate assessment.

Canadian Departure Tax and US Exit Tax Planning

Canada’s departure rules can treat certain property as sold at fair market value when residence ends; exceptions include Canadian real property and specified registered plans. US expatriation tax has different rules, including covered-expatriate criteria. Review eligibility, reporting and available elections before ending residence or relinquishing status.

Cross-Border Business Structuring

Canadian corporate ownership may trigger US reporting, but ownership alone does not settle CFC status or every Form 5471 requirement. Review ownership percentages, attribution rules, transactions and the applicable filer categories before deciding which forms and income inclusions apply.

Estate Planning for Cross-Border Families

Before making estate-planning decisions, gather asset ownership records, residence and citizenship details, wills and beneficiary designations. Ask which tax and legal professionals need to be involved and confirm their responsibilities.

Preparation Scope and Fees

Define Your Cross-Border Filing Quote

Request a written quote based on the required forms, tax years and account details. Confirm fees and support terms before starting.

Individual Filing

Confirm the returns and reports included

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  • US and Canadian preparation responsibilities
  • Required account reports and information returns
  • Tax years covered
  • Fee currency, payment terms and exclusions
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Accounts, Investments or Business Income

Identify additional reporting before agreeing to scope

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  • Retirement and savings account details
  • Fund holdings and transaction records
  • Self-employment and rental records
  • Additional forms and their fees
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Catch-Up or Relocation

Discuss prior filings and planned changes

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  • Years of missing or amended filings
  • Tax-authority correspondence
  • Move dates and residence history
  • Separate tax and legal review needs
Request a Quote
Treaty Topics

US-Canada Treaty Topics to Review

Discuss which treaty provisions may apply to your income and circumstances, including their conditions and reporting requirements.

Read our US-Canada tax filing guide for background on retirement accounts and reporting requirements before your consultation.

Article IV

Residence Tiebreaker

Dual-resident taxpayers may need the treaty’s residence rules. Treaty residence does not automatically remove US tax obligations because the saving clause and its exceptions must also be considered. Review the facts before claiming treaty treatment.

Article XVIII

RRSP and RRIF Deferral

Revenue Procedure 2014-55 provides automatic deferral for eligible individuals with qualifying Canadian retirement plans. Eligibility includes prior return filing and income-reporting conditions. Distributions and separate account reporting still need review.

Article XIII

Capital Gains Provisions

Treaty treatment of gains depends on the property and circumstances. Canadian real property is not covered by the general exemption described for certain personal-property gains of US residents. Review the relevant provision before a sale.

Article XXIV

Elimination of Double Taxation

Double-tax relief is subject to treaty provisions and domestic credit rules. Special foreign tax credit rules may apply to US citizens residing in Canada. Review income sources and credit limitations rather than assuming a full offset.

Totalization Agreement

CPP vs. FICA

Social security coverage is separate from income tax treaty relief. Where Canadian or Quebec coverage applies, SSA describes certificates CPT56 and QUE/USA 101 to establish an exemption from US contributions. Bring coverage documents to the consultation.

Our Process

How Our Cross-Border Process Works

Confirm the agreed scope, responsibilities and filing methods before preparation begins.

Step 1

Free Consultation

Discuss your filing history, accounts and preparation needs. The initial call helps establish next steps and scope; it is not a completed tax analysis.

Step 2

Gather Documents

Gather prior returns, income slips, account statements and relevant correspondence. Confirm the required documents and how to provide them securely before sending sensitive information.

Step 3

Coordinated Preparation

Agree which returns and information reports will be prepared, who handles each country’s filing, and how the necessary information will be coordinated.

Step 4

Review and Confirm Filing

Review the prepared documents before authorizing submission. Confirm each filing method, deadline and completion record, and retain copies for your records.

People Also Ask

US-Canada Cross-Border Tax FAQs

Answers to the most common questions from Americans in Canada, Canadians in the US, and dual citizens navigating both tax systems.

Do I need to file taxes in both the US and Canada?
Possibly. US filing requirements depend on worldwide income, filing status, age and other triggers; living abroad does not automatically remove them. Canadian filing requirements must be checked separately. Bring prior returns, residence dates and income records so the required returns can be identified.
Can I claim Canadian taxes paid on my US return?
You may qualify for a US foreign tax credit for eligible Canadian taxes on income also subject to US tax. Qualification and limitations apply; the amount withheld is not necessarily the creditable amount. Taxes on income excluded from US gross income cannot also support a foreign tax credit.
How is my RRSP taxed in the US?
Under Revenue Procedure 2014-55, eligible individuals are treated as having elected deferral of undistributed RRSP income. Eligibility depends on filing and reporting history. Distributions remain reportable, and FBAR and Form 8938 obligations are separate.
Is my TFSA taxable in the US?
Do not assume Canadian tax-free treatment determines US tax treatment. Review the account agreement, holdings, income and transactions. Foreign-trust and PFIC filing requirements, including exceptions, must be assessed separately; this page cannot establish your account classification or recommend selling its holdings.
Do Canadian snowbirds need to file US taxes?
The substantial presence test counts all current-year days, one-third of the previous year and one-sixth of the year before, with at least 31 current-year days and 183 weighted days required. Excluded days can change the result. The closer connection exception requires fewer than 183 current-year days, foreign tax-home and connection conditions, and no disqualifying green-card application steps. Form 8840 and timely filing requirements apply.
What happens if I haven't filed in either country?
US Streamlined Foreign Offshore procedures require eligibility, complete submissions and payment of tax and interest; previously assessed penalties are not abated. Canada’s VDP separately considers qualifying applications for penalty and partial interest relief. Its current rules distinguish prompted and unprompted applications. Bring prior filings and tax-authority correspondence for review before choosing a procedure.
How much does cross-border tax filing cost?
Request a written quote after reviewing your filing history and accounts. Confirm the currency, tax years, forms, US and Canadian preparation responsibilities, exclusions and support terms before accepting. Do not assume every return or information report is included.
Why should I use a specialist instead of a regular accountant?
Ask a prospective preparer which US and Canadian returns they handle, how they assess account reporting, who is responsible for each filing, and what is included in the written quote. Confirm relevant experience and credentials directly rather than relying on a promise that every tax benefit or outcome is guaranteed.

Discuss Your Cross-Border Filing Needs

Bring your filing history and account details to discuss preparation scope and next steps.

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