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Discussion Starter #1
From what I understand, the IRS can go after you for Estate taxes (Upon death) if you have $60,000US taxable assets AND $2M in total worldwide assets. (doesn't apply to US Securities held in an RRSP).

If you hold a Canadian mutual fund that holds US assets, does that count toward the $60,000 US assets? Specifically, the funds:

TD E-Series US Index Fund:
https://www.tdassetmanagement.com/fundDetails.form?fundId=3270&prodGroupId=1&lang=en&site=TDCT

Mawer US Fund:
http://mawer.com/mutual-funds/fund-profiles/mawer-u-s-equity-fund/

Steadyhand
https://www.steadyhand.com/funds/equity/
https://www.steadyhand.com/funds/global/

Thanks
 

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http://www.steinbergwealth.com/uploads/64946/Financial Planning/Financial Planning - U S Estate Taxes for Canadian Residents _2_.pdf

"Unless a person has assets with a fair market value exceeding $5.2 million, there shouldn’t be a need to conduct complex cross border planning when owning US assets be they real estate or financial instruments. If the value of your estate is greater than $5.2 million, and you own more than $60K in US assets, it’s a good idea to formulate a financial plan to mitigate potential estate taxes."

I believe both conditions needs to apply, re: >$60k US assets and >$5.2 M.
 

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Discussion Starter #3
MOA, thanks for that. I though the total assets was $2M, which is entirely possible with today's RE values. $5.2M on the other hand would be nice, but unlikely :)

That being said, I'm surprised the 60k for US assets seems like an awfully low number, designed to ensnare foreigners with US domiciled stocks / investments.
 

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I agree, $60k USD seems low.

I suppose one way to avoid U.S. estate taxes is to hold CDN ETFs that hold U.S. securities, like VUN for VTI? Then, you're into a mess of withholding taxes on the VUN.

U.S. estate taxes is a problem only the wealthy will have to wrestle with it seems, until the laws change of course!
 

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Discussion Starter #5
I agree, $60k USD seems low.
Which is why I was wonder if Canadian Based Mutual Funds would be considered US assets

U.S. estate taxes is a problem only the wealthy will have to wrestle with it seems, until the laws change of course!
Until the IRS decides to lower the threshold on total assets, then ensnare a larger group of people
 
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