Any Canadian that invested into a U.S. deal? (Tax and legal question)

searcher profile

July 03, 2024

by a searcher in Montreal, QC, Canada

I'm trying to understand what's the best way to structure an investment into a US company as a Canadian citizen and resident.

What are the tax and legal implications of investing into a deal through a Canadian Corp.?

What are the key elements to keep in mind when doing this, and if you've done it before, what was your legal structure?

Any insights you can share would be helpful.

Thanks,
Q

0
2
13
Replies
2
commentor profile
Reply by a searcher
from Camosun College in Victoria, BC, Canada
You should seek advice from an accountant and/or lawyer who deals with cross-border taxation as it depends on the situation. On the Canadian side, you may have to file T1134, T1135s, T106s each with their own significant filing penalties. Various other tax implications can apply like foreign accrual property income, surplus calculations to determine whether a dividend can be paid tax-free.
commentor profile
Reply by a searcher
in Montreal, QC, Canada
Got it - thanks
Join the discussion