Monthly Archives: November 2011

Border Pact puts Canadians under new U.S. National Defense Act

Senator Rand Paul Speaks about the real war – The U.S. Government vs. The U.S. Constitution

If you value your liberty – watch Senator Paul!

I have read about two different legislative developments in the last couple of days. The first is the U.S. National Defense Act. The second is the new Canada U.S. security agreement. These are interesting developments.

First – The U.S. Defense Act

A couple of days ago I saw a link in the comments section of  the Globe and Mail to an article about a new U.S. National Defense Act. The article describes an Orwellian situation. The author of the article commented that: Continue reading

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The IRS attack on U.S. expats will become a diplomatic issue

The conventional wisdom is that taxes are a domestic matter and that the U.S. State Department should not get involved in the vicious assault levied on American citizens living abroad. The conventional wisdom is wrong. The conduct of the IRS is becoming and will become more and more of a diplomatic issue for the U.S. There are two broad categories of reasons. The first pertains to the role that U.S. citizens play as ambassadors for the U.S.A. The second has to do with friction with foreign governments.

U.S. Expats As Ambassadors for the U.S.A. Continue reading

Paid U.S. tax preparers must register with the IRS

Fewer U.S. tax preparers at higher cost!

The U.S. is a “Nation of Forms”. It uses “forms” to force you to provide them endless amounts of information. It is truly Orwellian. Through FATCA, the U.S. will force Canadian banks (they should simply refuse) to report on U.S. citizens to the IRS.

Here is a “new form” that is clearly designed for the benefit of the IRS. Your “paid tax preparer” must not only be registered with the IRS, but must provide his/her own background information to the IRS. I suspect that a number of people who have been preparing U.S. tax returns will simply stop. Those remaining will have to register with the IRS, pass an exam and take continuing education courses. The good news is that this has created a new industry in America – the IRS Tax Preparation Return Preparation Exam Preparation Industry – this is hilarious – and to not favor one IRS Tax Prep Return Prep Provider.  Clearly the most important obligation of U.S. citizenship is to submit forms filled  out under the supervision of government certified form preparers. This really should become an election issue – honestly, how many forms should a person be required to fill out and at what expense. This is getting worse and worse and more and more intolerable. So, make sure that when you go (if you go) to HR Block they show you their tax preparer number! Continue reading

N.B.’s dual U.S., Canadian citizens stiffening opposition to tax penalty

Came across this great article and initiative:

FREDERICTON – Some American-born New Brunswickers are looking to bolster opposition to a threat of stiff penalties for dual citizens who didn’t know they had to file income tax returns to the United States.

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Marie Cashion and Robert Gerard are concerned about the effect a tax law in the United States may have on them. They are both dual citizens of the U.S. and Canada and could be affected by the law, which until recently, was not strictly enforced.

Though the U.S. Internal Revenue Service law has been on the books for decades, enforcement of the U.S. Foreign Bank and Financial Accounts filing requirements (FBAR) is relatively new. The requirement obligates people with American citizenship to report assets in foreign accounts that are worth more than US$10,000. It includes everything from pensions and registered retirement savings plans to stocks and bonds. Continue reading

Canadians face IRS scrutiny at border

Have you been filing your U.S. tax returns?

Today is Thanksgiving. Thinking of driving to the U.S. for Thanksgiving? Thinking of going for some “Black Friday” shopping? You might be interested in the following:

“OTTAWA — Shopping or other trips to the U.S., which have surged with the loonie’s rise to parity, could be cut short for thousands of Canadians by the IRS.

The approximately 70,000 Canadians living here who have dual U.S. citizenship, plus individuals with U.S. green cards, are for the first time facing tax scrutiny at the border, American tax lawyers are warning.

While it’s been known for years that the Canada Revenue Agency and the Internal Revenue Service exchange large amounts of information, it now appears that the IRS is also sharing information with Homeland Security, says Carol Fitzsimmons, with Buffalo-based law firm, Hodgson Russ LLP. Continue reading

U.S. citizenship for Canadians

Don't leave home without it!

I have linked to this U.S. citizenship lawyer in previous posts. I would recommend the site. He assumes that U.S. citizenship is a prized possession that all reasonable people should aspire to. Interestingly he notes that:

“Obtaining citizenship may result in communication to the Internal Revenue Service.”

He lists many benefits of having U.S. citizenship (in comparison to having a Green Card). These include the benefits of: “No more paperwork” and “Emotional Benefits”. Continue reading