Moving Investments From The U.S.

by Tax Guy - Burlington Accountant on January 5, 2010 Print This Post Print This Post

A number of visitors to Canadian Tax Resource write me with their questions. I haven’t published reader questions and answers in quite some time and over the Christmas break, I will post a number of recent questions posed by visitors.

Reader Question

We have lived in Canada on a visitor visa for the past 8 years. My husband is a clergy and permitted to work on this visa. We have done this based on the language laws of schooling for our children. We live here pay taxes etc we are trying to move our investments from the US to Canada. Is this possible?

Also, we are being told because our SIN #s are temporary some firms won’t open accounts

is there a legal basis for this?

For Canadian tax purposes the physical location of your investments is not important. As residents of Canada you pay tax on income from your worldwide income.

When you became residents of Canada you were considered to have bought your investments at their fair market value as of the date you became resident. For capital gain/loss purposes the cost basis is the value you became a resident.

That being said, there are no issues moving investments to Canada (except for IRAs or 401k). You probably cannot transfer mutual funds but stocks and bonds should be no problem.

Finally, I called a colleague at a major brokerage house and she told me a temporary SIN is no problem as long as you live in Canada.

About The Tax Guy...

Dean Paley CGA CFP is a Burlington accountant and financial planner who services individuals and business owners locally, nationally and internationally. Dean has appeared in the National Post, Toronto Star and Metro News.

To find out more, visit Dean's website Dean Paley CGA CFP or connect via Twitter @DeanPaleyCGACFP.

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