# Dual citizenship taxation

**URL:** <https://www.protaxcommunity.com/t/dual-citizenship-taxation/1814>\
**Category:** Tax Topics\
**Created:** [April 26, 2018, 6:30pm UTC](https://www.protaxcommunity.com/t/dual-citizenship-taxation/1814 "2018-04-26T18:30:42Z")\
**Posts on this page:** 5\
**Page:** 1

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**Author:** ![taxwave](https://sea2.discourse-cdn.com/flex016/user_avatar/www.protaxcommunity.com/taxwave/32/2957_2.png) [@taxwave](https://www.protaxcommunity.com/u/taxwave)\
**Post date:** [April 26, 2018, 6:30pm UTC](https://www.protaxcommunity.com/t/dual-citizenship-taxation/1814/1 "2018-04-26T18:30:42Z")

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I have a client, citizen of both US & Canada, with occasional (~ 20%) residence in US and 80% in Canada.

Incomes are (Canada) CPP & OAS and (US) VA disability pension benefit and Social Security benefit.  
Would he have to file a return in both countries (as he previously did) or only in Canada.

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**Author:** ![BertMulderCGA](https://sea2.discourse-cdn.com/flex016/user_avatar/www.protaxcommunity.com/bertmuldercga/32/42_2.png) [@BertMulderCGA](https://www.protaxcommunity.com/u/BertMulderCGA)\
**Post date:** [April 26, 2018, 7:33pm UTC](https://www.protaxcommunity.com/t/dual-citizenship-taxation/1814/2 "2018-04-26T19:33:20Z")

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Both in Canada and US. CPP, OAS AND SS is not taxable in the US, nor is VA disability. VA disability may also not be taxable in Canada.

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**Author:** ![taxwave](https://sea2.discourse-cdn.com/flex016/user_avatar/www.protaxcommunity.com/taxwave/32/2957_2.png) [@taxwave](https://www.protaxcommunity.com/u/taxwave)\
**Post date:** [April 26, 2018, 8:02pm UTC](https://www.protaxcommunity.com/t/dual-citizenship-taxation/1814/3 "2018-04-26T20:02:38Z")

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Thanks Bert, you confirm my findings:  
US’ IRS requires tax returns be filed, based on Citizenship rather than Residency for Canada.  
However from his 2017 US return (from another firm) his CPP & OAS was included as income …  
His US, VA disability pension, would qualify as non-taxable in both countries, which leaves his US’ Social Security income as foreign income in Canada and subject to the post 1996 exemption and his CPP & OAS incomes.  
In the US. his SS could be subject to tax implications depending on his total income.  
From previous year’s Canadian return, (again, from another firm) his SS was omitted…

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**Author:** ![BertMulderCGA](https://sea2.discourse-cdn.com/flex016/user_avatar/www.protaxcommunity.com/bertmuldercga/32/42_2.png) [@BertMulderCGA](https://www.protaxcommunity.com/u/BertMulderCGA)\
**Post date:** [April 26, 2018, 8:35pm UTC](https://www.protaxcommunity.com/t/dual-citizenship-taxation/1814/4 "2018-04-26T20:35:31Z")

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As I said, none of his social security income is taxable in the US as he is expat living in Canada, as per the US-Canada tax treaty. This means his OAS, CPP, SS.

See Article XVIII (5)

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**Author:** ![taxwave](https://sea2.discourse-cdn.com/flex016/user_avatar/www.protaxcommunity.com/taxwave/32/2957_2.png) [@taxwave](https://www.protaxcommunity.com/u/taxwave)\
**Post date:** [April 26, 2018, 8:52pm UTC](https://www.protaxcommunity.com/t/dual-citizenship-taxation/1814/5 "2018-04-26T20:52:34Z")

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> [@taxwave](#):
>
> In the US. his SS could be subject to tax implications depending on his total income.

I stand corrected. 🧐