The Money Mustache Community

Learning, Sharing, and Teaching => Investor Alley => Topic started by: Mega on September 18, 2013, 06:13:08 PM

Title: US REITs in a Canadian RRSP
Post by: Mega on September 18, 2013, 06:13:08 PM

Hi guys,

My google-fu seems to be lacking. I have been unable to figure out the tax treatment of US REITs held inside an RRSP. Do you guys have any ideas?

Everything on the net has talked about holding Canadian REITs inside TFSAs.

Thanks!

Title: Re: US REITs in a Canadian RRSP
Post by: daverobev on September 18, 2013, 06:47:18 PM

It'll be tax-free. No tax on US$ securities in RRSP.

Title: Re: US REITs in a Canadian RRSP
Post by: Kazimieras on September 19, 2013, 01:58:11 PM

I think dave is right, since there is the mutual tax treaty between the two countries. TFSAs are not on the treaty, so they tend to be excluded from a lot. I think the Canadian Couch Potato may have something on his website about this.

Title: Re: US REITs in a Canadian RRSP
Post by: sleepyguy on September 21, 2013, 11:12:58 AM

Some info here,

http://www.milliondollarjourney.com/portfolio-allocation-rrsps-tfsas-and-taxable-accounts.htm

Title: Re: US REITs in a Canadian RRSP
Post by: peterpatch on June 21, 2014, 08:13:28 PM

I am going to raise this thread from the dead.

I know that distributions from MLP's held within an RRSP do get hit with an irrecoverable US withholding tax of around 35%

REIT's may be similar due to the tax situation, not sure, does anyone have a definitive answer? I have searched google to no avail.

Title: Re: US REITs in a Canadian RRSP
Post by: AssetGrinder on June 22, 2014, 12:21:10 AM

taxtips.ca scour that site!

I have been reading up and i dont have a definitive answer for you. Its a lil unclear. What makes things even more complicated is  that all Reits distribution is different.