Article XVIII of the Canada-US tax treaty lets you defer tax on your 401(k) or IRA while living in Canada — but only if you file the right elections. I work through these mechanics with my clients regularly and see common mistakes that can be costly. Getting the filing right from the start saves significant headaches.
I keep a close eye on developments like these so my clients don't have to. Tax law changes can significantly affect your filing strategy, and I believe the earlier you understand them, the better positioned you are to plan effectively.
Whether you file in Canada, the United States, or both, staying current on these changes is essential. In my cross-border practice, I've seen firsthand how policy shifts in one country can create unexpected obligations — or opportunities — in the other.
If you have questions about how this affects your specific situation, please don't hesitate to reach out. I'm here to help you navigate these changes and make the best decisions for your financial future.