Liberty and justice for all United States persons abroad

Solving US Citizenship Problems – OTTAWA Information Session

The date for the meeting in Ottawa has changed to Wednesday, May 14 from 6:00 pm – 8:00 pm.

The venue is:

St. Paul University
Room 104
223 Main St. (Main & Hazel)
Ottawa, ON K1S 1C4

Parking is available on the street after 5:30 pm otherwise, the cost is $10.00 in the St. Paul parking lot.

See map here.

On February 5, Canada signed an Intergovernmental Agreement with the United States concerning the Foreign Account Tax Compliance Act. This will enable the US to receive enhanced financial information concerning those deemed “US Persons” which includes citizens, green card holders, and “Accidental Americans” and will affect the families of anyone considered as such by the US. Starting July 1, 2014, Canadian financial institutions will begin to determine what accounts are “reportable accounts.” Information regarding those accounts will be passed on to the CRA who will, in turn, pass this information on to the IRS. Minister Flaherty emphasizes that the CRA will not collect taxes for any person who was a Canadian citizen at the time the tax was incurred, nor will any penalties be collected concerning FBAR (Foreign Bank Account Report). This situation is causing confusion and concern for anyone who may have a US connection, whether it be actual citizenship, a member of the family, etc. This information session will focus on these issues which include:

Citizenship Issues:

-Are you a U.S. citizen?
-Are you STILL a U.S. citizen?
-Are your children U.S. citizens?
-What is an Accidental American?

Tax Issues:

-Filing US tax returns
-What is involved?
-Filing information returns (FBAR, 8938, 3520A & 3520, 5471, 8621, etc)
-Reasonable cause (avoiding penalties)

Financial Planning Issues:

-Treatment of tax-deferred savings plans
-Treatment of Mutual Funds (PFICs)

Privacy Issues:
-What might FATCA mean for me?

Border Issues:
-Will FATCA make it harder for me to cross the border?

Does it make sense to give up US citizenship?
-Relinquishment
-Renouncing

Presenter: John Richardson, L.L.B., J.D
John Richardson is a Toronto lawyer and a member of the Ontario Bar. He is also a member of the American Citizens Abroad (ACA) Professional Tax Advisory Council (PTAC).

Admission: $20 cash payable at the door (to cover costs).

Information presented is NOT intended or offered as legal or accounting advice specific to your situation.

20 thoughts on “Solving US Citizenship Problems – OTTAWA Information Session

  1. @Tricia

    Are you traveling up to Ottawa again? Will you be in the audience at the hearing? If so have fun.

  2. I will not be able to attend this session. Will there be a recording of the session?

  3. I regret that I will be out of town, because I would have liked to attend. But at least I was able to get to the Montreal session.

  4. @Tim

    No, unfortunately I will not be going. Just enrolled in a tax class so have to WORK! LOL

  5. My wife and I will be there. I will also pass the information among friends, in case they know someone affected.

  6. @ Brigid,

    I’m sorry you can’t attend the Info Session here next week. I went to the Kingston one and found it very informative.

    Lynne/Blaze has provided a detailed (11 page!) summary of John’s London Info Session at this link.

    There’s about 18 or so Brockers (that we know of) in Ottawa and environs. We’ve been getting together casually for lunch a few times a year, and are probably going to do so in the next month or so. No date set yet, but I hope you’ll be able to make it to that.

    Other activities we’ve done in Ottawa were in 2012, we attended the FATCA information meeting that MP Paul Dewar hosted, where we made an announcement about IBS, and in October 2014 we protested FATCA on Parliament Hill on the opening day of Parliament.

    This is the first Info Session being held at Ottawa. Thanks, John, and Tricia (for arranging it).

  7. Finally a session in Ottawa that I can attend. I am looking forward to meeting some of the brocksters and others. Thank you for taking so much time to,meet our needs across the country.

  8. Thanks for the link to the synopsis…appreciate it. Do let me know when the next Ottawa get together is, thanks,

  9. @Tricia

    Is the Ottawa session free? If not, what is the fee/charge?
    Who are the presenters/speakers?

    Thanks

  10. Re my post above, with the time signature 8:11 pm, I have now read the full post and found the info I requested. Therefore, my post above is obsolete.

  11. Thanks, mushi.

    I took the opportunity to submit another short piece to the IRS Taxpayer Advocate — http://www.taxpayeradvocate.irs.gov/Home/tax-reform-suggestions.

    Tax Reform Suggestions
    The time for tax reform is now!

    To help this dialogue along, the Taxpayer Advocate Service has established a vehicle to receive taxpayers’ suggestions about tax reform. We ask that you approach this with the frame of mind that everything – even the tax breaks that benefit you or your businesses personally – should be on the table. What would you be willing to give up if you knew that others are giving up their breaks and the end result would be a much simpler system? What particular provisions of the existing tax system are especially burdensome or seem particularly unfair? So, let us know. We promise to track these suggestions and post them periodically, thereby helping to further the cause of tax reform and tax simplification.

    Tax complexity doesn’t occur just because of “big money” special interests. It occurs because of the tax provisions that benefit each one of us. We are the special interests. And until we acknowledge that, tax reform discussions will deteriorate into shouting matches and finger pointing about cutting “their” special tax breaks and not “ours.” What would you give up in exchange for a simpler tax system?

    “This year’s report is dedicated to the hardy souls who have worked actively over the years for tax reform and tax simplification, and to the busy majority of U.S. taxpayers who are cheering for them to succeed.”
    Nina E. Olson, National Taxpayer Advocate

    Nina E. Olson
    National Taxpayer Advocate
    2010 Annual Report to Congress
    Dialogue for Reform

    We are interested in receiving your suggestions on how to reform the tax system.

    The Taxpayer Advocate Service will not respond directly to your suggestions. Your suggestions are compiled and reviewed by the National Taxpayer Advocate. You will not receive an individual response. If you’re experiencing a tax problem with the IRS and haven’t been able to resolve it yourself, please visit http://www.irs.gov/advocate or call TAS at (877) 777-4778. If you have questions about your taxes, please contact the IRS at (800) 829-1040.

    Submit your suggestions about tax reform:

    Thank you for the opportunity to submit my suggestion. I sincerely hope someone will listen.

    My continuing request for tax reform is that the US change to residence-based taxation like the rest of the developed world.

    My son, born in Canada, raised in Canada, never registered as a birth abroad, never lived in the USA, never had any benefit from the USA, cannot renounce because he has a “mental incapacity” (a developmental disability). A parent, a guardian or a trustee does not have the RIGHT to renounce on such a person’s behalf, even with a court order.

    From Ask-OCS-L:
    If your son was born in Canada to two U..S. citizens, at least one of whom had a residence in the United States prior to his birth, your son is a U.S. citizen pursuant to Section 301(c) of the Immigration and Nationality Act. Your understanding of U.S. citizenship law is absolutely correct. U.S. citizenship is a status that is personal to the U.S. citizen and may not be renounced by a parent or a legal guardian. If your son seeks to renounce his citizenship, it will be incumbent upon him to demonstrate that (a) his action in renouncing his U.S. citizenship is the product of his own free will and (b) that he fully understands the consequences attendant to the relinquishment of his U.S. citizenship.

    Howard Kavaler

    This is ENTRAPMENT into US citizenship. I have renounced my US citizenship at great administrative tax legal and accounting cost. That cannot be done for my son — who had no choice — for any amount of professional tax or accounting fees.

    Be aware that my son would have no more mental capacity to understand and apply for a SSN, etc., the purpose to renounce US citizenship — which he could not do anyway because of US law that ENTRAPS.

    Surely, any law that ENTRAPS someone into an extraneous citizenship (whether US or any other) when his supports and family are in a different country is immoral law. It should be an ‘opt-in’ to US citizenship if the facts permit, not an ‘opt-OUT’.

    Additionally, this is the advice from a Washington, DC immigration / nationality lawyer that I paid to look into the matter of how I could have my son’s US citizenship rescinded.

    The $42,000 in fees that I paid were for tax returns and tax law from 2005 through 2012, three different US accounting firms (one in the US that was worthless and I had to fire, but they kept the “retainer”. Early returns had to be re-done as they were not done properly. That figure also included hiring a Washington, DC immigration / nationality lawyer to confirm my son’s US status and give possibilities for his renunciation. Result was that my children were US citizens from the moment of their births. And, straight from the US Department of State:

    DOS persons he talked with have “sympathy” for such cases. However, the developmentally disabled person will have to have FULL understanding of what he’s doing; if any question of lack of comprehension and grasping meaning and importance of ramifications, they could NOT approve such a case. From DOS point of view, US citizenship is precious and they have therefore established fundamental requirements for “compelling reason”. Even though there is the risk that a person’s financial resources could run out before his/her life was over, they will never approve a renunciation for financial / economic reasons. DOS has NEVER had such a renunciation case approved due to “compelling circumstances”. Bottom line: “compelling reason” in their regulations is not helpful to my son’s case. I could sue – persons he talked with at DOS are SURE no one would ever win such a case as the courts view the discretionary action that DOS has would take precedence.

    This is so wrong!!! Surely someone with any common sense can see this and make sure it is remedied one way or another. I would certainly like to have someone’s views on why this is acceptable practice.

  12. Uh oh calgary…I found a mistake:

    “Surely, any law that ENTRAPS someone into an extraneous citizenship (whether US or any other) when his supports and family are in a different country is immoral law. It should be an ‘opt-in’ to US citizenship if the facts permit, not an ‘opt-in’.” The last word should be ‘opt-out’ not ‘opt-in’

    Not sure if it’s too late to change that.

  13. Comments have been silent for nearly a week. Are there any updates to this session?

    Thanks

  14. @NorthernStrike

    My understanding it is still on. John is going to be appearing in front of the committee this afternoon.

  15. Wednesday evening. Thank you, John Richardson. It was a valuable meeting. Much information and experience was shared around the room.

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