Taxation of Pensions

Company Pension Plan - Your Canadian company pension plan is subject to a 15% withholding at source and must be reported on your US tax return as a part of your "worldwide income" resulting in the potential for double taxation. Proper planning and tax preparation can recapture some or all of this 15% on your US return.

Old Age Security - One of the most compelling reasons for moving to the US is the OAS "clawback" no longer applies to US residents. This means high-income Canadians who lost 100% of their OAS due to the "clawback" can now begin receiving it again. Even more good news, there is no withholding on your OAS by Canada and it is taxed similar to Social Security in the US at the lower US rates with the first 15% of your benefits being tax-free, but the remaining 85% may or may not be taxable depending on how high your income is.

Canada Pension Plan - According to the last Treaty negotiations, your CPP/QPP is not subject to any withholding by Canada , but is fully reportable on your US tax return as a part of your "worldwide income." Your CPP/QPP is taxed like Social Security at the lower US rates with the first 15% of your benefits being tax-free, but the remaining 85% may or may not be taxable depending on how high your income is.

Income Tax Planning
	Tax Filing Requirements - which tax return do you file? In which country? When?
	Severing Ties With Canada - make sure you are not taxed in both Canada and the US!
	The Canada/US Tax Treaty - learn what it is and how it works.
	Taxation of RRSPs/RRIFs/LIRAs - landmines in waiting.
	Taxation of Interest & Dividends - potential for double tax.
	Taxation of Capital Gains - Which country taxes? Canada/US comparison.
	Taxation of Pensions - company pensions, OAS, CPP/QPP.
	Social Security Number - or Individual Taxpayer Identification Number, why you might need one.
	Taxation of Rental Properties - a paperwork nightmare how to apply.
	Foreign Tax Credit Planning - your ticket to avoiding double taxation.
	Key Differences - Canada/US comparison of tax brackets, deductions, and so on.