From PLAN (Planned Lifetime Advocacy Network) a membership-based non-profit organization, established by and for families committed to ensuring the safety, security and well-being of our relatives with disabilities.
My comment and my sincere thanks to this incredible organization:
My friends at PLAN, I thank you so much for providing the WARNING STICKER that all Canadian Registered Accounts, including the RDSP, should have for anyone deemed to be a ‘US Person’ in Canada. It is negligent that this has not been accomplished before now by those who offer these products. (I have paid over $2,000 in US taxes for the Canadian government’s contribution of bonds and grants to my son’s RDSP, for which I am the Holder. There is no other way to say it — these are $$$$ stolen from Canada’s taxpayers who provided the funds for those grants and bonds — and also from the Canada’s treasury to go to the US.)
I object to my Canadian-born son (born to me in Canada before I became a Canadian citizen in 1975) now being being referred to by the Canadian government and the Canadian Bankers Association, respectively, as “a U.S. citizen resident in Canada” and “a U.S. taxpayer resident in Canada”. He has never been registered with the US, never lived in the US, never got any benefit from the US – only from Canada and for those benefits I am forever thankful.
Hopefully, I am no longer described that way as I have officially renounced my US citizenship and now have a Certificate of Loss of Nationality that I can show my local CANADIAN “foreign financial institution” when I am asked if there is any reason the US would consider me a ‘US person’ in order to turn over account information to the CRA to then turn over to the US IRS. I cannot renounce on behalf of my son, even with a court order.
I can’t thank you enough, PLAN, for the needed warning to Canadian families who would not have an ounce of extra strength left over after caring for family members who have some type of disability to deal with US tax and financial account reporting to the US on top of that. In addition they most likely do not have any extra money to fork out to US tax law and accounting professionals year after year after year for compliance of US tax and reporting for which there would likely be no taxes owed. I was “lucky enough” to have retirement savings to pay for coming into compliance. Some families may be like my family and have a son or daughter who would be entrapped into US citizenship and this year-after-year-after-year absurdity and stress for no (or very little) actual tax owed to the US.
Bless you for saving other families what mine has experienced in the past several years. This is just the awareness I’ve been working for.
US Persons in Canada are now deemed 2nd class citizens — and this should not happen to Canada’s most vulnerable.
This, my friends at Isaac Brock, is the awareness to the right families that I have been working for. I will sleep a little better tonight KNOWING that this information will now better get to the ones I want it to reach.