Passive foreign investment company rules

Canadian mutual funds and ETFs can trigger punitive U.S. taxes for Americans living in Canada Canadian mutual funds and ETFs can trigger punitive U.S. taxes for Americans living in Canada

Tax Strategies

Canadian mutual funds and ETFs can trigger punitive U.S. taxes for Americans living in Canada

Holders of ordinary Canadian investments are sometimes affected by passive foreign investment company rules

By Carson Hamill |February 23, 2026

4 min read