How to Leave Your IRA Account in the U.S. When Moving to Canada
- 1). Inform your bank that you're moving to Canada. The bank may need certain information from you, such as your new place of residence and a new telephone number. There will also be paperwork regarding your change of address that you'll need to complete.
- 2). Declare your IRA account in the United States on your Canadian tax forms. This is really the only thing that's necessary to do, but it will stick you with double the usual Canadian estate tax because you have a retirement account outside the country, according to Transition Financial. However, some people would rather leave their IRA in dollars then transfer it to Canada, pay the closeout fees and taxes in the U.S., and then have the money translated into loonies.
- 3). Monitor your account to make sure there aren't any unexpected changes or problems. You should still be sent regular statements by mail or email, and if something happens to your IRA account the bank should contact you to inform you. This is why it's important the bank knows where to find you.
