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Canada Inheritance Tax
Peter Said:US citizen receiving stock inheritance living in Canada?
We Answered:As long as those stocks and bonds are not in a tax deferred account you get "stepped up value" which means the tax basis changes to the price on the day of death and there is no taxes, no gains. There may tax on any interest since death but you have to pay that anyway.
So cashing them out is not a problem, not taxable, unless the total estate was many times larger and there would be estate taxes. But the executor should take care of that anyway.
You could simply contact a broker in the states and move them in to a brokerage account there. I think it would be a simple transfer.
I would also suggest you could contact a broker in Canada and they could likely advise you. But I suspect it is easier to sell and move the money than move the particular investments themselves.
Good Luck, condolences on your loss.
Esther Said:What tax is due in the U.S on an inheritance from Canada?
We Answered:The link below explains the circumstances under which a nonresident alien estate may be subject to US federal estate tax.
You should also investigate whether a state inheritance tax is applicable. Unlike federal estate taxes, which are levied on the estate of the decedent, state inheritance taxes are sometimes imposed on the person who inherits property. If the beneficiary is a resident of the US, this could result in a tax being imposed.
Caroline Said:What is the inheritance tax for an inheritance from the US to Canada?
We Answered:Your grandmother's executor will pay any estate taxes owing when she dies, before paying out any amounts due to beneficiaries under the will.
You will not need to worry about any other taxes, since there is no inheritance tax, either in Canada or the US.
Of course, if you invest the money once it's yours, you will pay regular income tax on the income, in both countries.
Philip Said:Do non-domiciled canadians have to pay tax on inheritance in Canada?
We Answered:It has to "earned income" to be taxable. The inheritance wouldn't be taxable as long as it didn't come from a trust. Even then only the income from the trust and not the principle would be taxable to the beneficiary's.
Tiffany Said:I'm American-Canadian. Do I pay inheritance tax on inheritance from US in US or Canada?
We Answered:Canada does not have inheritance taxes. You pay the taxes where the deceased lived / died.