Americans in Canada: Your US Tax Return Checklist 🇨🇦
What documents do US taxpayers in Canada need to file? You’ll need your T4 slips, Canadian tax return (T1 General), proof of taxes paid to CRA, travel records showing time in each country, and foreign account information if balances exceeded $10,000 USD at any time during the tax year.
Key facts for US taxpayers in Canada:
- Both countries tax worldwide income; the US-Canada tax treaty prevents double taxation but doesn’t eliminate filing requirements
- June 15 automatic filing extension applies if you live outside the US on the regular April deadline
- Foreign Tax Credit usually provides better tax outcomes than FEIE for Canadian residents due to similar tax rates, though this requires analysis of each individual specific situation
- FBAR required if total foreign accounts (including RRSP, TFSA, RESP) exceeded $10,000 USD at any point during the tax year
- Canadian retirement accounts (RRSP, RRIF) have special treaty treatment
- Provincial taxes paid to Canada qualify for Foreign Tax Credit
📋 Filing Status & Household Information
Your filing status affects tax rates, deductions, credits, and multiple downstream decisions.
What you need:
- Full legal names (must match Social Security cards exactly)
- SSN or ITIN for you, your spouse, and dependents
- Dates of birth
- Filing status (Single, Married Filing Jointly, Married Filing Separately, Head of Household)
- Dependent relationship details
✈️ Travel Calendar & Addresses
Critical for reporting requirements and for determining eligibility for provisions such as the Foreign Earned Income Exclusion.
What you need:
- Dates of entry to and exit from the US and Canada
- Workdays vs non-workdays (if tracking physical presence)
- All addresses during the tax year, with move-in and move-out dates
More information on maintaining a Travel Calendar
💼 Employment & Income Information
For Employees:
- T4 Slip (Statement of Remuneration Paid) (Canadian equivalent of US W-2)
- Payslips from January to December showing cumulative totals
- Bonus, commission, or supplemental compensation statements (if any)
For Self-Employed / Freelancers:
- T2125 (Statement of Business or Professional Activities)
- Records of gross income and expenses
- Home office details (if applicable)
- GST/HST records if registered
Note for Self-Employed Individuals:
If you’re self-employed, you may need a Certificate of Coverage from Service Canada to avoid paying US self-employment tax in addition to Canadian CPP/QPP contributions. This certificate proves you pay social security and Medicare taxes to Canada, making your self-employment income exempt from self-employment tax in the US under the US-Canada totalization agreement. You can obtain it from:
- Service Canada
- For more information, visit the Social Security Administration’s international programs page.
Other Income:
- T5 Slip (Statement of Investment Income) and T3 Slip (Statement of Trust Income Allocations and Designations) from Canadian sources; 1099s from US sources
- Rental income and expenses (T776 if filed in Canada)
- T4A Slip (Statement of Pension, Retirement, Annuity, and Other Income)
- T4RSP Slip (Statement of RRSP Income)
- T4RIF Slip (Statement of Income from a Registered Retirement Income Fund)
- RRSP withdrawals
- TFSA activity (contributions and withdrawals)
- RESP contributions and withdrawals
- Capital gains or losses (Schedule 3 from Canadian return)
- Cryptocurrency transactions
Common mistake: Non-US income is still generally reportable on a US return.
🌍 Foreign Taxes Paid
Required to evaluate and calculate the Foreign Tax Credit.
What you need:
- T1 General (Income Tax and Benefit Return) with Notice of Assessment from CRA
- Provincial tax return and Notice of Assessment
- Tax payment receipts or CRA account statements
- Records of installment payments made to CRA
Important decision: Foreign Tax Credit, Foreign Earned Income Exclusion, or a combination. For most Canadian residents, Foreign Tax Credit provides better results due to comparable tax rates between the two countries, though this requires analysis of each individual specific situation.
Timing note: You can claim taxes paid or accrued. This choice affects which year’s Canadian taxes offset which year’s US taxes.
💰 Deductions & Credits
Common deductions:
- Foreign housing costs (rent, utilities, insurance)
- Student loan interest (US loans)
- Retirement contributions (401k, IRA – note: RRSP contributions are NOT deductible on US return without treaty election)
- Charitable contributions to US-qualified organizations (Canadian charities generally don’t qualify)
Common credits:
- Child Tax Credit / Credit for Other Dependents
- Foreign Tax Credit (federal and provincial Canadian taxes)
- Education credits (if applicable for US institutions)
What you need:
- Receipts and supporting documentation
- Lease agreements and housing expense records
- RRSP/401k contribution statements
- Charitable donation receipts (verify US qualification)
🏦 Foreign Bank & Financial Accounts (FBAR)
An FBAR is required if the aggregate value of all foreign accounts exceeded $10,000 USD at any time during the year.
What you need for each account:
- Account number
- Financial institution name and address
- Account type (chequing, savings, RRSP, TFSA, RESP, investment)
- Maximum value during the year in Canadian dollars (converted to USD using Treasury rates)
Notes:
- Joint accounts and signature authority still count
- RRSPs, TFSAs, RESPs, and RRIFs must be reported
- Business accounts where you have signing authority must be reported
More information on FBAR requirements
📊 Foreign Financial Assets (Form 8938)
Separate from FBAR, with higher thresholds and overlapping but distinct rules.
What you need:
- Bank and investment account details (similar to FBAR)
- Foreign stock or securities held outside accounts
- RRSP, RRIF, TFSA account statements
- Foreign partnership interests
- Foreign-issued life insurance or annuities
More information on Form 8938 requirements
🏠 Foreign Rental Real Estate
What you need:
- Purchase date and price (in CAD and USD)
- Current fair market value
- Rental income and expenses (if applicable)
- Sale details (if sold): proceeds, adjusted cost base, capital gain calculation
- Mortgage and financing information
Reminder: US depreciation and capital gains rules differ from Canadian rules.
🇨🇦 Canadian Retirement Accounts (Special Treatment)
RRSPs, RRIFs, and RESPs have unique US tax treatment:
What you need:
- Annual RRSP contribution statements
- RRSP/RRIF account balances (December 31)
- T4RSP Slip (Statement of RRSP Income) and T4RIF Slip (Statement of Income from a Registered Retirement Income Fund)
- Form 8891 filing history (or election to defer income)
Key points:
- RRSP growth can be tax-deferred in the US if proper elections are made
- Contributions are NOT deductible on US return (unlike Canada)
- TFSAs receive NO treaty benefits and are taxed annually by the IRS on growth
- RESP contributions are not deductible; growth and withdrawals have special rules
👶 Dependents & Education
For each dependent:
- SSN or ITIN
- Months lived with you
- Childcare provider details (name, address, SIN – Canadian tax ID)
- Education expense records (Form 1098-T from US institutions)
- Canada Child Benefit (CCB) information
Note: Canadian university tuition does NOT qualify for US education credits in most cases.
🏥 Health Insurance
What you need:
- Proof of provincial health coverage
- Private supplemental insurance details (if applicable)
- Premium amounts paid
💳 Other Important Items
- Prior year US tax return
- IRS notices or correspondence
- Estimated tax payments made to IRS
- US state tax information (if you maintained state residency)
- RRSP, RRIF, TFSA statements
- Canadian Social Insurance Number (SIN)
- Record of any tax treaties elections made in prior years
✅ Ready to File?
Organizing these items upfront saves time and reduces the risk of missed reporting or penalties, even in years with little or no tax due. The US-Canada tax relationship is complex, and working with a professional who understands both systems is essential.
🔎 Quick Reference
- Canada Tax Year: January 1 – December 31
- Canadian Filing Deadline: April 30 (June 15 for self-employed)
- US Tax Year: January 1 – December 31
- US Filing Deadline: June 15 (automatic extension for taxpayers abroad)
- Extended US Deadline: October 15 (with extension)
- FBAR Deadline: April 15 (automatic extension to October 15)
- USD/CAD conversion: Use Treasury Department rates or year-end rates consistently
Documents specific to Canada:
- T1 General (Income Tax and Benefit Return)
- T4 Slip (Statement of Remuneration Paid)
- T4A Slip (Statement of Pension, Retirement, Annuity, and Other Income)
- T4RSP Slip (Statement of RRSP Income)
- T4RIF Slip (Statement of Income from a Registered Retirement Income Fund)
- T5 Slip (Statement of Investment Income)
- T3 Slip (Statement of Trust Income Allocations and Designations)
- T2125 (Statement of Business or Professional Activities)
- Notice of Assessment
⚠️ Every individual income tax situation is unique and may involve nuances that are not obvious from general guidance. You should review your specific facts with a qualified tax professional before making filing decisions or taking action based on this information.
