Roth IRA

[agrisiva]

anyone with Roth IRA, moved to Canada. I heard you need to submit an one-time election statement to avoid taxation on its earnings. Any ideas what will happen if i failed to that?

 

[agrisiva]

Good News. here's the email response i got...

Hi XXX,

Since you became a resident of Canada in September 2010, the election should have been filed by April 30, 2011. However, we are still accepting elections in regards to Roth IRAs. You can still file an election, and there will not be any penalty or fine if the election is filed late.

For a discussion on how to file an election and a list of the information that should be provided in your election, please refer to Income Tax Technical News 43, which can be found on the CRA website at http://www.cra-arc.gc.ca/E/pub/tp/itnews-43/itnews-43-e.html.

The election should be mailed to the address below:

Competent Authority Services Division
International and Large Business Directorate
5th Floor, Canada Building
344 Slater Street
Ottawa ON K1A 0L5

Regards,


Connie XXX CGA
MAP - Technical Cases Section | Section de la PA- Cas techniques
Competent Authority Services Division | Division des services de l’autorité compétente
International and Large Business Directorate | Direction du secteur international et des grandes entreprises
Compliance Programs Branch | Direction générale des programmes d'observation
Canada Revenue Agency | Agence du revenu du Canada

 

[life2010]

Can u ok explain what do you mean by election? Can you please explain the situation and solution in simple terms. I think I am in same situation as I have invested heavily in 401 and Ira

I plan to move to Canada and want to know what happens to my investments

 

[agrisiva]

CRA recognizes both 401k & traditional IRAs as retirement accounts but not Roth IRAs. So if you have Roth you need to submit a letter (election) as explained in the linked document from my last post. See the section..."C. How should an Election be made?"

 

[jam4u]

Great news. I hope it is still true. Where did you find their e-mail address? (or what is their e-mail?) I can only find a mailing address.

Good News. here's the email response i got...

Hi XXX,

Since you became a resident of Canada in September 2010, the election should have been filed by April 30, 2011. However, we are still accepting elections in regards to Roth IRAs. You can still file an election, and there will not be any penalty or fine if the election is filed late.

For a discussion on how to file an election and a list of the information that should be provided in your election, please refer to Income Tax Technical News 43, which can be found on the CRA website at

The election should be mailed to the address below:

Competent Authority Services Division
International and Large Business Directorate
5th Floor, Canada Building
344 Slater Street
Ottawa ON K1A 0L5

Regards,


Connie XXX CGA
MAP - Technical Cases Section | Section de la PA- Cas techniques
Competent Authority Services Division | Division des services de l'autorité compétente
International and Large Business Directorate | Direction du secteur international et des grandes entreprises
Compliance Programs Branch | Direction générale des programmes d'observation
Canada Revenue Agency | Agence du revenu du Canada

 

[agrisiva]

did you read the document linked to the email message thoroughly? It has an email address.

mailto:itrulingsdirectorate@cra-arc.gc.ca