Bird Talk Featuring the letters & concerns of our members SEND YOUR LETTERS TO Bird Talk, c/o CSANews 180 Lesmill Road Toronto, Ontario M3B 2T5 Online at www.snowbirds.org/bird-talk or by e-mail: csawriteus@snowbirds.org Bird Talk Dear Bird Talk, I read with interest the recent question regarding having a U.S. will if you own property in the U.S. However, it was not entirely clear to me whether a U.S. will is REQUIRED in order to allow property to be distributed in Canada. Does ONLY a Canadian will suffice in that regard, provided that the U.S. property and its distribution are listed in that will? Kevin Gough Ontario Ed.: A Canadian will satisfies the requirements for directing the disposition of property located in the United States upon the owner’s death. A second will written in the United States is not required. Dear Bird Talk, What additional medical insurance is required to travel east from Ontario in Canada., i.e. through Quebec, New Brunswick, Nova Scotia, PEI and NFLD? Shirley Lawson Woodstock, ON Ed.: Not all medical expenses are eligible for reimbursement through the Canadian interprovincial medical transfer payment program. One of the most important and potentially greatest expenses is ambulance, air ambulance and return to home province transportation. Emergency travel medical insurance for travel within Canada is relatively inexpensive and is included in the Medipac Annual Add-on endorsement. Dear Bird Talk, Hi, would you please clarify the validity of a passport when you travel to the U.S. Some countries require six months, some three months and some have no limit, as long as you return to Canada before the expiration of your passport. What is the rule when travelling to the U.S.? Your answer will help me to decide when to renew my passport. Yvon Morin Longueuil, QC Ed.: You can travel to the United States with a valid passport for as long as the passport is valid. There is no time requirement, except that you must return to Canada before your passport expires. Dear Bird Talk, I have been asked to bring a coin collection home to my niece as her father has passed and she does not go to the states. I have a Nexus card and I’m not interested in putting it in jeopardy. Can I bring it back with me? My concern is that I have no idea what it is worth. Rod Edwards Alliston, ON Ed.: It is important to determine the value of the coin collection prior to crossing the border, as entering Canada with currency or monetary instruments valued at $10,000 CAD or more needs to be reported. There is no penalty for transporting money over the border but, if it is over $10,000 CAD, it has to be declared and you cannot use the NEXUS lanes when you cross the border. Find a coin dealer and get a letter of appraisal before you travel. Dear Bird Talk, In the spring 2024 issue, you mention a ‘Ladybird Deed’ for properties in Florida. Can the names of our adult children be added to the deed at any time without triggering capital gains tax, or did this ‘Ladybird Deed’ have to be put in place at the time of our original purchase? When searching online, other questions arose. Is it true that, upon our deaths, the property’s value for tax purposes receives a ‘stepped-up basis’ to fair market value that will be used as the cost base for our children? Susan Fritz Tecumseh, ON Ed.: The names can be added at any time. However one needs to be concerned about gift taxes upon doing so. There are ways of avoiding the gift taxes, such that you should consult an attorney if you wish to add the children and avoid the gift taxes. As for the ‘stepped-up basis’ – if the property is part of an estate and thus inherited through a will, this would apply. However, if the property passes to a person by way of joint tenancy, the property is not part of the estate of the deceased. The ideal way to accomplish your objectives is to have the property in a trust. Dear Bird Talk, In your spring CSANews, there was a question about Florida property ownership which addresses the Florida Ladybird Deed. My wife & I are joint owners of property in Florida. We had a Florida lawyer draw up a document making our two sons Durable Power of Attorney of our Florida property upon our demise. In layman’s terms, would we still require a Florida Ladybird Deed, or another document, or would our Canadian will (of which our two sons are trustees) be sufficient? This can be a confusing topic – and controversial, depending upon whom you talk to. Ed DeJong Camlachie, ON Ed.: The authority under a power of attorney ceases upon the passing of the person who created the POA. Thus, there is some confusion in your suggesting that it would be effective ‘upon our demise’. Your Canadian wills would be sufficient and govern in your circumstances. If they are trustees in those wills, nothing “needs” to be done. Upon the passing of one of the parents, the property will go to the survivor without the need for probate in Florida and, upon the passing of the other parent, the property will go as provided in their will, not attracting capital gains tax. CSANews | SUMMER 2024 | 9
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