Canadian_Retirement

Snowbirds, don’t hold your breath

Published On January 9, 2014 | By Joseph (Ken) | Retirement

congress

Following up an article from August 29, 2013 – The Great Snowbird Migration – “Snowbirds may have to pay income tax in the USA – Canadians can stay in the U.S. for up to 180 days each year without a visa, but that arrangement with the Immigration department does not concern the IRS.  Those who spend less than 120 days in the United States and consider themselves Canadian and live in Canada shouldn’t have to worry.”

There are New U.S. rules snowbirds need to know “ A new U.S. immigration bill that is likely to pass will extend the number of days Canadians can spend there. Snowbirds planning to capitalize on the opportunity need to properly prepare for an extended stay to avoid being taxed as a U.S. resident or losing access to their provincial healthcare coverage.

The New U.S. Immigration Bill – Impacts to Canadians Spending More Time in the U.S. “In recent weeks, there has been extensive news coverage on the Gang of Eight’s U.S. Immigration reform bill. If the new bill were to pass, U.S. Immigration (USCIS) would extend the amount of days a Canadian can spend in the U.S. from 180 to 240 per year. Many Canadian Snowbirds are delighted that their 6-month sunny winter may be extended to 8-months, pending the bill’s approval – and who could blame them? More sun, more beach, more golf and less snow! However, there may also be a costly tradeoff to this dream lifestyle in the form of double taxation and loss of health care coverage.”

Unfortunately, “The Gang of Eight’s US Immigration Reform Bill” is sitting waiting for enough votes in the Republican controlled US House of Congress. 

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About The Author

Joseph (Ken)
(Ken) is a Registered Public Accountant with over 25 years of public practice experience in the accounting profession. Ken specializes in accounting information systems, taxation and financial reporting.

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