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US Tax Chapter 2025

Corporate Beneficial Ownership Information Reporting 2024

Estate Planning for Canadian Situs Property Owned by a U.S. Citizen

Re-Sourcing of Pension Income Received by U.S. Citizens Resident in Canada 2024

International Treatment of Stock Options 2024

<div><strong>Appreciate the good service last year and I look forward to hearing from you.</strong></div>
<div>&nbsp;</div>
<div><em>TN, Houston, TX, 1/20/2025</em></div>

Testimonials

<div><strong>As I mentioned, I've had great experiences working with Mark and the Serbinski Accounting team over the past 10yrs+. &nbsp;They have helped me while I lived in Canada, US and during our transitional phase when my spouse was in Canada and I was in the US. &nbsp;(and I still work with Mark for our yearly tax filings.). Hopefully they can serve you well too!</strong></div>
<div>&nbsp;</div>
<div><em>FC, Palo Alto, CA, 1/20/2025</em></div>

<div><strong>And thank you for your and Marks support managing my US tax returns for the past 10 years.</strong></div>
<div>&nbsp;</div>
<div><em>JC, The Gap, Queensland, AS, 1/14/2025</em></div>

<div><strong>I&rsquo;m reaching out to see if you&rsquo;d be interested in handling both my Canadian and US tax returns for 2024. You did an excellent job preparing my 2022 returns, and I greatly appreciated your thoroughness and professionalism.</strong></div>
<div>&nbsp;</div>
<div><em>GS, Kelowna, BC, 1/8/2025</em></div>

<div><strong>Mark is the best in the business. &nbsp;I&rsquo;ll leave it to you both to get acquainted.</strong></div>
<div>&nbsp;</div>
<div><em>JW, Lexington, MA, 12/4/2024</em></div>

<p><a href="/for-practitioners/specialized-tax-topics#rothincanada" title="ROTH in Canada">Important message</a> for Canadian residents who have a Roth IRA.</p>

<table border="0">
	<tbody>
		<tr>
			<th>Item</th>
			<th>Traditional Nondeductible IRA</th>
			<th>Traditional Deductible IRA</th>
			<th>Roth IRA</th>
		</tr>
		<tr>
			<td>Who is eligible?</td>
			<td>Any person under age 70 ½ who has earned income</td>
			<td>Any person under age 70½ who has earned income</td>
			<td>Any person of any age I who has earned income</td>
		</tr>
		<tr>
			<td>Maximum contribution</td>
			<td>Lesser Of $2,000 or 100% of earned income if single, If married, contribution may be up to lesser of $4,000 or 100% of earned income</td>
			<td>Lesser Of $2,000 or 100% of earned income if single, If married, contribution may be up to lesser of $4,000 or 100% of earned income</td>
			<td>Lesser Of $2,000 or 100% of earned income if single, If married, contribution may be up to lesser of $4,000 or 100% of earned income</td>
		</tr>
		<tr>
			<td>Is the contribution deductible?</td>
			<td>No</td>
			<td>Yes, if participant is not covered by a qualified plan. If one spouse is covered by a qualified plan, then the nonparticipant spouse may make a deductible contribution, if filing jointly and adjusted gross income (AGI) is $150,000 or less. Deduction Phased out for AGI between $150,000 and $160,000.'<br>
			<br>
			If participant is covered by a qualified plan, fully deductible if AGI is $30,000 or less, if single, and $50,000 or less, if married.<br>
			<br>
			Not deductible if AGI is $40,000 or more, if single, and $60,000 or more, if married.<br>
			<br>
			Deduction phased out ratably between above limits.<sup>2</sup></td>
			<td>No</td>
		</tr>
		<tr>
			<td>Are earnings currently taxed?</td>
			<td>No</td>
			<td>
			<p>No</p>
			</td>
			<td>No</td>
		</tr>
		<tr>
			<td>Taxation of withdrawals at death and disability'</td>
			<td>Contributions are received tax-free and earnings are taxable.</td>
			<td>All distributions are taxable.</td>
			<td>No taxation of distributions.</td>
		</tr>
		<tr>
			<td>Taxation of $10,000 withdrawn for flrst-time home purchase'</td>
			<td>Proportionate part attributable 10 earnings is taxable</td>
			<td>All $10,000 subject to income tax</td>
			<td>No income tax</td>
		</tr>
		<tr>
			<td>Taxation on withdrawals to pay for medical expenses'</td>
			<td>Proportionate part attributable to earnings taxed as ordinary income. For those under age 59 ½, 10% penalty does not apply to amounts that qualify as deductible medical expenses; e.g., amounts in excess of 7.5% of AGI.</td>
			<td>Entire withdrawal taxable as ordinary income. For those under age 59 ½, 10% penalty does not apply to amounts that qualify as deductible medical expenses; e.g., amounts in excess of 7.5% of AGI.</td>
			<td>Earnings are taxable at ordinary rates unless IRA owner is age 59 ½or older and established Roth lRA five or more years prior.</td>
		</tr>
		<tr>
			<td>Taxation on withdrawal to pay for educational expenses</td>
			<td>Proportionate part attributable to earnings is taxable</td>
			<td>Entire withdrawal is subject to income lax.</td>
			<td>Earnings are taxable at ordinary rates unless IRA owner is age 59½ or older and established Roth IRA five or more years prior</td>
		</tr>
		<tr>
			<td>Taxation of distributions not covered above<sup>2</sup></td>
			<td>Nondeductible contributions received tax-free. Earnings arc taxed at ordinary rate.</td>
			<td>All distributions are taxable at ordinary rates.</td>
			<td>Earnings are taxable at ordinary rates unless IRA owner is age 59 ½or older and established Roth IRA five or more years prior.</td>
		</tr>
		<tr>
			<td>Are there required, minimum distributions?</td>
			<td>Distributions must start at age 70 'Minimum is calculated on life expectancy.</td>
			<td>Distributions must start at age 70 'A. Minimum is calculated on life expectancy.</td>
			<td>No minimum distribution is required</td>
		</tr>
		<tr>
			<td>By when must an IRA be set up and funded?</td>
			<td>Plan must be set up and funded by April 15 of calendar year following year to which the contribution applies.</td>
			<td>Plan must be set up and funded by April 15 of calendar year following year to which the contribution applies.</td>
			<td>Plan must be set up and funded by April 15 of calendar year following year to which the contribution applies.</td>
		</tr>
	</tbody>
</table>


IRA or ROTH

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IRA or ROTH | Serbinski Accounting, International Accountants, US and Canadian Tax Preparation

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