Closer Connection Form 8840: TO FILE OR NOT TO FILE

Spring 2009 CSANews Issue 70  |  Posted date : Apr 30, 2009.Back to list

The Canadian Snowbird Association recommends that all snowbirds who consistently spend four (4) months or longer in the United States each year file an 8840 Closer Connection Form with the United States Internal Revenue Service.

The form, in essence, acknowledges that you meet or exceed the "substantial presence" test, BUT are not going to be filing a U.S. income tax return since you maintain "a closer connection" to a foreign country, such as Canada, where you will be paying annual income tax.

To determine if you are obligated to file the 8840 in order to be exempt from U.S. taxation, despite the fact that you qualify to pay taxes due to your status as a resident alien, complete the calculation below.  It could save you a lot of grief at some point in the future.

If you are a current CSA annual or lifetime member, the new 8840 Form for this year was sent to you with your membership renewal in early May 2009.

If you are not a CSA member, you can visit the Canadian Snowbird Association website at, click on the 8840 link and download the form on your own.

Filing deadline (mail to IRS, not to the CSA office):

April 15, 2009 – if you do have U.S. income
June 15, 2009 – if you do not have U.S. income
Note: One 8840 form per person, NOT one per couple!

Take the Substantial Presence Test!

A. Total days in the U.S. for 2008
B. Total days in the U.S. for 2007 x 0.333 (1/3)
C. Total days in the U.S. for 2006 x 0.166 (1/6)
Total of A + B + C =

If the sum of A + B + C is less than 183, then completing and submitting the 8840 form is optional.

If the sum of A + B + C is greater than 183, then the 8840 form must be submitted to the IRS.

Related links
8840 Closer Connections Form