Hello, I am an American residing in Canada. I’ve a financial institution EE bond that simply absolutely matured after approx 30 years. Nonetheless, none of my native banks right here in Canada can money within the bond.
My relative, who additionally has his title on the bonds as somebody in a position to money them, has agreed to convey them again to the US after which mail me the cash.
Being that I am an American in Canada, how does the tax work for a Financial institution EE Bond?
>Each forms of bonds are tax-deferred, in that you don’t pay taxes on curiosity revenue till you redeem the bond. It’s possible you’ll decide to pay tax on curiosity earlier than they’re cashed. All curiosity on US financial savings bonds are handled as commonplace revenue for revenue tax associated functions. EE and I-series bonds are exempt from all state and native taxes.
Will the “federal tax” routinely be deducted as soon as the Bond is changed into the financial institution? Do I’ve to put in writing down how a lot as soon as I declare my taxes every year?
Or am I given the total quantity of the bond, and I’ve to maintain monitor how a lot I used to be given? I am googling, however I can not seem to discover what % of the revenue needs to be paid in taxes.
After they flip within the bond, ought to I inform them to convey me an announcement?
Lastly, anything I ought to be careful for?