This change means someone in Canada who borrows mo...

2007-09-21T16:44:00.000-07:00

This change means someone in Canada who borrows money from a U.S. lender will no longer have to withhold and remit Canadian tax on the interest payments.

Other amendments to the tax treaty include:

* Extending treaty benefits to limited liability companies.
* Allowing taxpayers to require that some double taxation issues be settled through arbitration.
* Ensuring there is no double taxation on capital gains of investors who move from one country to the other.
* Giving mutual tax recognition of pension contributions.
* Clarifying how stock options are taxed.

The treaty must be ratified by the Canadian and U.S governments, and is set to go into effect Jan. 1.

Comments on Vancouver Tax Tips - Canada & USA: Canada, U.S. to scrap cross-border tax in treaty

This change means someone in Canada who borrows mo...