If I am a Canadian and I open a TD Waterhouse Bank Checking Account and/or Certificate of Deposit, how are my taxes affected?
If you are a resident of Canada, any interest paid to you should be declared on your Canadian tax return. If you are not a resident of Canada, consult the tax authority of your country of residence about interest payments from U.S. accounts. If you are a citizen or resident of the U.S., your interest payments are included in your United States taxable income. If you are not a citizen or resident of the U.S., and your interest payments are not effectively connected to a U.S. trade or business, your U.S. income tax liability is not affected by the interest payments. We will send you an IRS Form W-8 BEN, Certificate of Foreign Status of Beneficial Owner (the “form”). The form certifies that you are not a citizen or resident of the U.S. Please complete the form and return it to us.
