Moving from Canada to the USA: the checklist, and the deadlines that actually bite

Canada is the only country on this list that taxes you on the way out. The day you stop being a resident, the CRA treats most of what you own as if you had sold it, and there is a form with a daily penalty attached that catches people who thought a move south was a simple drive.

$25,000property value that triggers Form T1161
$25 a daylate penalty for missing it
1 yearhow long you must have owned furniture for duty-free entry

What actually changes

Four things have real deadlines or real money attached, and one of them catches almost everyone.

Social Security numberOn an immigrant visa, tick the Social Security box on your DS-260 and the card is mailed to your U.S. address about 7 to 10 business days after you land. No office visit. On a work visa (H-1B, L-1) you apply in person at a Social Security office after you arrive.
Departure taxOn the day you cease Canadian residency the CRA deems you to have disposed of most property at fair market value, and any gain is taxed on your final return (Form T1243). Payment can be deferred with Form T1244, without interest, until you actually sell.
The $25,000 formIf everything you owned when you left was worth more than CAD $25,000, Form T1161 must list it with your final return. The late penalty is $25 for every day it is late, minimum $100, maximum $2,500, and it applies even when no tax is owed.
Registered accountsThe treaty recognises an RRSP, so the deferral generally survives the move. A TFSA generally does not get the same treatment once you are a U.S. taxpayer. Ask a cross-border accountant before you leave, not after.
Social Security and CPPThe U.S. and Canada have a social security agreement, so a temporary transfer can use a certificate of coverage rather than paying into both systems.
Dogs, driving and creditCanada is not on the CDC's high-risk list for dog rabies, so the paperwork is short: the free CDC Dog Import Form filed 2 to 10 days before travel, a microchip, and a dog that is at least six months old and healthy on arrival. Your airline will have its own rules on top. Your provincial licence and your Canadian credit file do not carry over either: each state sets its own licence deadline, and your credit history starts fresh.

Rules here change often. Confirm current requirements at the official source before you act. (reviewed Aug 2026)

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Common questions

What is the Canadian departure tax?

When you stop being a resident, the CRA treats most of your property as sold at fair market value on that date and taxes the gain on your final return. Form T1244 lets you defer the payment, without interest, until you actually sell.

Do I have to file Form T1161?

If the fair market value of everything you owned on the day you left was more than CAD $25,000, yes, with your final return. The penalty is $25 a day late, from $100 up to $2,500, whether or not you owe tax.

Can I keep my TFSA and RRSP?

An RRSP is recognised by the treaty and the deferral generally carries over. A TFSA generally loses that advantage once you are taxed as a U.S. person. Get advice before you move, because unwinding it afterwards is harder.

Can I drive on my provincial licence?

For a short window, yes. Every state then sets its own deadline to convert once you become a resident, and a few will exchange a Canadian licence without a road test.

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