"Canadian banks are NOT required to report "U.S. accounts" less than $50,000 under FATCA, but…" — John Richardson https://t.co/a97wFrQbfW
— Citizenship Lawyer (@ExpatriationLaw) April 25, 2016
The above tweet references a comment I left at an Ipoltics.ca article.
The truth is that …
Canadian banks are NOT required to report “U.S. accounts” less than $50,000 and certain other accounts under the IGA. Nevertheless, some banks may be reporting these accounts anyway.
This conclusion follows from an examination of (A) the terms of the IGA and (B) Part VIII of Canada’s Income Tax Act, which is the Canadian legislation to implement FATCA.
Part A – Beginning with the IGA which is the master “agreement” (either your brains or your signature will be on this contract)
1. We must refer to the U.S. Canada FATCA IGA.
We look to the definitions section to understand what is a “U.S. Reportable Account”.