There is no denying that the United States continues to be a hot spot for many Canadians, and although the housing market crash has begun to recover, prices are still nowhere near where they once were. This coupled with the strength of our Canadian dollar means one thing; it’s a wonderful time to be Canadian. Although, [...]
In my last update, I wrote about the American Taxpayer Relief Act, the eleventh-hour Fiscal Cliff compromise legislation, which narrowly avoided the return of U.S. estate tax for owners of US properties dying with a global estate worth more than $1 million. It was great news, especially for Canadian Snowbirds and real estate investors looking to [...]
Last week a bipartisan group of US Senators known as the “Gang of Eight” unveiled their proposed US immigration reform bill. The 844 page document contains what amounts to an overhaul of almost all aspects of the current US immigration system. It is still to be seen how much of the original bill will make it [...]
It’s that time of year when Canadians wintering south of the border begin to realize that fairly soon they will be packing their things and making the long trip north again. Some of them will do so willingly, eager to get back to friends and family, others will consider extending their stay by another couple of [...]
One of the key pillars to estate planning is preservation of wealth by keeping assets away from one’s creditors throughout one’s lifetime. Often, it is the principal residence that is considered a person’s most valuable asset and within reach of creditors in order to satisfy their claims. I recently met with my client Roy and Julie, [...]
Just hours before midnight on New Years Eve, the US Senate hammered out a tentative deal to avoid sending the country over the Fiscal Cliff. Yesterday, a reluctant, Republican-controlled House of Representatives has also blessed the plan, which deals with many of the major tax issues at stake, while pushing back the spending issues to later [...]
Pierre, a client of ours from Quebec, came to us with a problem. He owned a condo in Florida, and since Micheline recently passed away, he did not want to go to the vacation home anymore and wanted to sell it. The title ownership was in Micheline’s name alone, but her Quebec notarial will left [...]
For whatever the reason, each and every day people make the decision to move away from their native country to pursue a life elsewhere. Whether it is a dual citizen looking to give up their passport of one country, or someone looking for a fresh start, the tax implications of being an expatriate are a complicated [...]
US citizens who live in Canada are liable for US gift and estate tax on their worldwide assets, even if they have never actually lived in the US. This means that assets transferred during life or on death are taxed by the IRS at rates of up to 35%, subject to certain annual and lifetime exclusions. [...]
While reading a recent edition of O Magazine, I came across Suze Orman’s monthly column. For those who don’t know, Ms. Orman is a financial expert and has written many books on financial prosperity. She was a frequent guest on The Oprah Winfrey Show and now has her own show on Oprah’s network. The column addressed how to be smart about your assets by protecting your estate from unnecessary costs and delays when you pass away. And what was her suggestion to achieve this peace of mind? A trust. For most Canadians, owning property in a trust is a new concept. They have never thought of holding property this way, and when they hear about all of the benefits, they have a number of reactions. Some love the idea and start to question why their Canadian estates aren’t organized in the way we suggest that their U.S. estate be arranged. Some are less enamored by the concept of a trust and worry that the trust will cause complications in connection with the purchase or may scare off the seller. I assure them that this won’t be the case. I explain that using a trust to hold U.S. assets is not something we recommend to solely to Canadians, but that this is the recommended approach for Americans as well. And to back me up on this, like I do with so many things, I quote Oprah. Ok, maybe in this case, it is not Oprah directly, but Oprah’s trusted advisor, Suze Orman. […]
