US-Born Canadians
Born in the US because that was where the nearest hospital was. The IRS may still consider you a US citizen.
The situation
Where this gets complicated
Many Canadians were born in a US hospital simply because it was the closest one, or because their parents happened to be working or travelling there at the time. Birth on US soil generally confers US citizenship, and US citizens are taxed on their worldwide income no matter where they live. Many have never held a US passport or a Social Security number and have no idea they may have a US filing obligation.
Born in a US border-town hospital, or while your parents were temporarily in the US
Raised in Canada and have never lived, worked, or held a passport in the US
Never filed a US return and have no Social Security number
Your bank asked about US citizenship, or flagged your US place of birth, on a FATCA form
Holding RRSPs, TFSAs, RESPs, or Canadian bank accounts that have never been reported to the US
Forms that typically apply
- SSN application
- A Social Security number is generally required before a US return can be filed. We help you through the process.
- 1040
- The annual US return a US citizen must file once income is above the filing threshold, even if no US tax is owed.
- FBAR (FinCEN 114)
- Reports Canadian accounts, including RRSPs, TFSAs, and RESPs, once combined balances exceed US$10,000 at any point in the year.
- Streamlined Filing
- The IRS catch-up program for taxpayers whose failure to file was non-willful. It typically covers three years of returns and six years of FBARs.
Related guides
Questions
Common questions
I have never lived in the US. Do I really have to file?
Possibly. The US taxes based on citizenship, not residency, so a US-born Canadian can have a filing obligation even if they left as an infant. Whether you actually need to file depends on your income, your accounts, and your citizenship status. We confirm that before any filing begins.
Will I owe US tax?
Often very little or nothing, since the foreign tax credit and the Canada-US treaty generally offset US tax on income already taxed in Canada. The bigger exposure is usually the information returns, such as FBAR, which carry their own penalties when missed.
Can I just renounce my US citizenship?
Renunciation is an option, but the IRS generally expects you to be tax compliant for the five years before you expatriate, and Form 8854 has to be filed. Some US-born Canadians qualify for the IRS relief procedures for certain former citizens. We can walk through whether catching up, renouncing, or both makes sense for you.