Penalties for US Citizens and Greencard Holders Complying with Canadian Law

If you are resident of Canada and are a US Citizen or a permanent greencard holder (not given back at the border even though you can't work with it), complied with all tax filing requirements of Canada for the period of January 1, 2003 to December 31, 2010 and earn less than $10,000 of income from the US then a 5% of financial assets which are in Canada or other non-US countries will apply.

This penalty applies to highest total of the bank account balances, RRSP balances and Investment account balances for the period January 1, 2003 to December 31, 2010. The penalty applies only once.

Voluntary disclosure must be completed by August 31, 2011. There is no voluntary dislosure for 2010 balances.