Our team specializes in the often complex and quite intricate realm of international tax, estate planning, and immigration/ emigration law. For the most part, international tax professionals and immigration/ emigration law professionals keep to their own circles but often discuss factual and legal issues that pertain to the other.
With our team of specialists, we will bridge the gap between both legal disciplines. The nexus between working professional immigrants, high net worth immigrants, and their financial dealings when it comes to US taxation and estate planning, is complex.
In our consultation process we will determine the relevant immigration visa category, determine the status requirements, and establish what “triggers” an international tax and/or estate planning consequence.
Our team members attend academic conferences in both disciplines to keep up to date with various emerging case scenarios, analyzing vital fact patterns, and participate in academic research in this emerging interdisciplinary field.
When high net-worth emigrants migrate from Canada to the USA the date on which they cease their Canadian tax residency becomes crucial, because on that date they will be deemed to have disposed of their property. It is not advisable that the departure date is set too quickly until they have a carefully planned exit strategy. The law in the USA must be balanced against the law in Canada. This does not take place overnight as various scenarios must be considered, discussed and played out in theory, taking into account the special factual circumstances of the emigrant.
Many unsuspecting emigrants are cornered by professional firms pushing them to tie up retainer arrangements at exorbitant fees, promising huge tax savings. Many of these firms are the subject of a recent OECD Tax Administration Forum report which is targeting offshore planners as contributing towards the tax gap that exists in many countries.
The best advice to any emigrant is that the matter be approached cautiously and not with haste. A hard sell from any firm should signal warning bells.
The Canadian legislation gives certain “outs” to emigrants on their properties when they finally exit Canada:
- Canadian business property (including inventory) if the business is carried on through a permanent establishment in Canada;
- If the emigrant is subject to tax in the USA on the actual disposal;
- There are also deferral of payment options that can be elected.
We enclose the official Emigrants and Income Tax Guide from the Canada Revenue Agency in PDF format for download. We recommend that all emigrants first read this short guide to help focus them on potential emigration problems and opportunities.
We will gladly consult with potential emigrants through our teleconference process, worldwide. The first consultation is free. We do not charge retainers, but only charge for actual work done at a charge out rate of between US$ 125 – US$ 350 per hour, depending on the seniority of our consultant. Any engagement will typically take roughly 20 hours professional work. Complex cases may take double this time, but will be specifically quoted on.
To make contact with our Canadian tax team visit our contact page. |
