Extended US stay for Canadian retirees and tax status clarification.
This Act allows Canadian retirees, often called 'Snowbirds,' to stay in the United States for an extended period, up to 240 days per year. To qualify, they must be 50 or older, maintain a residence in Canada, and own or rent accommodation in the US. A key consequence is that these individuals will retain their non-resident alien tax status in the US, simplifying their tax obligations and protecting them from US taxation on global income.
Key points
Extended Stay: Canadian citizens aged 50 and over can stay in the US for up to 240 days within any 365-day period (up from the standard limit).
Requirements: They must maintain a residence in Canada and own or rent accommodation in the US for the duration of their stay.
Tax Status: These individuals are automatically classified as non-resident aliens for US tax purposes, meaning their non-US income is not subject to US taxation.
No Employment: They are prohibited from engaging in employment or labor for hire in the US, except for remote work for a Canadian-based employer.
No Benefits: They cannot seek any form of public assistance, benefits, or tax credits in the United States.
Expired
Additional Information
Print number: 118_S_387
Sponsor: Sen. Rubio, Marco [R-FL]
Process start date: 2023-02-09