Episode 87: Cross-Border Estate Planning: Wills, Exit Tax, and FIRPTA

If you bought a place in Palm Springs or Maui twenty years ago and never thought about what happens when you sell it — or when you die — is it too late to fix that?

In this episode, Gerry sits down with Kevin Kirkpatrick of Bordera Tax and Immigration Law — a dual Canadian-US lawyer based in Seattle, with his main office in Calgary — to walk through the estate planning issues that catch Canadians off guard on both sides of the border. From US estate tax thresholds to the 8-of-15 green card rule to FIRPTA withholding on US property sales, this is the conversation to have before you assume your Canadian will is enough.

What You’ll Learn in This Episode

• Why the $60,000 US asset threshold matters — and what counts as “US stuff” when the CRA is done with you

• How the Canada-US Tax Treaty provides Canadian residents a pro-rated US estate tax credit, and why the current high exemption benefits most Canadians

• What happens when a US citizen inherits a Canadian private corporation — and why controlled foreign corporation rules create reporting obligations even for family businesses

• The 8-of-15 rule for green card holders: when you become a long-term resident subject to US exit tax, and a treaty exception that may reduce your exposure

• Why dual-licensed doesn’t mean one lawyer handles everything — and how Kevin and his partner Asim structure their practice across US and Canadian tax law

• FIRPTA explained: how 15% gross withholding on US property sales works, why California and Hawaii add their own layer, and what your options are

• Whether trusts, non-recourse mortgages, or life insurance can still help if you bought your US property decades ago without any planning
  

Resources & Links

Kevin Kirkpatrick — Bordera Tax and Immigration Law: bordera.ca

FIRPTA Canada (Calgary-based FIRPTA specialists): firptacanada.com

Track your days across the border: snowbirdsusdaytracker.com

Canadians Heading South - Buy the Book: https://a.co/d/01Ryf45Z