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Snowbird tax rules for Canadians

Heading south for the winter? Two day-counts decide your fate — the IRS one that can make you a US tax resident, and your province's one that protects your health coverage. They are not the same number, and the famous "183 days" is only half the story.

Updated June 2026

The 183-day myth

Why "under 183 days" is not enough

Most snowbirds believe that as long as they spend fewer than 183 days a year in the US, they are invisible to the IRS. Not quite. The IRS runs the substantial presence test, which counts a slice of your previous two winters too:

days in the US this year + ⅓ of last year's days + ⅙ of the days two years ago = 183 or more → you "meet the test"
Your patternTest totalWhat it means
120 days a year, every year 180 days Below the threshold — no US residency issue
150 days a year, every year 225 days Meets the test — but you can file Form 8840 to stay a non-resident
182 days this winter, fewer before 222 days Meets the test — but you can file Form 8840 to stay a non-resident
183+ days this year 185 days Cannot use Form 8840 — closer-connection door is shut; you would need the treaty tie-breaker

Count carefully: the day you arrive and the day you leave both count as days in the US. Keep a simple log of border crossings — the CBSA and US share entry/exit data, so guessing is risky.

The safety valve

Form 8840 — the closer connection exception

If you meet the substantial presence test but spent fewer than 183 days in the US this year, you can still avoid US residency by filing Form 8840, the Closer Connection Exception Statement. It tells the IRS your real home is Canada.

Who files it

Any snowbird who trips the test but was in the US under 183 days this year — and whose centre of life (home, health card, bank, family, driver's licence) is clearly in Canada.

When & where

By June 15 of the following year. If you have no other US filing, mail Form 8840 on its own to the IRS in Austin, Texas. File it every year you meet the test.

The ties that matter

A permanent Canadian home, provincial health coverage, your main bank and cards, family, vehicle and social ties — the more that point to Canada, the easier the claim.

Cross 183 days in a single year and the closer-connection door shuts. You can no longer use Form 8840 — your only route to stay non-resident is the Canada-US tax treaty's tie-breaker rules (Form 8833), which is the point to bring in a cross-border accountant.

Back home

You are still a Canadian tax resident

Spending winters in the US does not end your Canadian tax residency. Your home, spouse and ties keep you a factual resident of Canada, so you keep filing a Canadian return and reporting your worldwide income exactly as before. Form 8840 simply stops you from also being taxed as a US resident on that same worldwide income. Estimate your Canadian bill with our income tax calculator, and if you are weighing a longer move, read retiring abroad as a Canadian.

The other day count

Do not lose your provincial health coverage

This is a different number from the IRS test and the one snowbirds trip over most. Provincial health plans require you to be physically present a minimum number of days. In Ontario, you must be in the province at least 153 days in any 12-month period — up to about 212 days of absence, tracked on a rolling basis, not a calendar year. Other provinces vary (often around five to seven months of presence), so confirm yours.

And remember provincial health pays almost nothing for care outside Canada — a single US hospital stay can run into six figures. Travel medical insurance for the whole trip is non-negotiable; some snowbird credit cards include limited coverage, but check the age cliffs and trip-length caps carefully.

Before you fly south

The snowbird checklist

  • Log every US entry and exit date — both ends count as days present.
  • Run the substantial presence formula each fall before you book.
  • If you meet the test (but stayed under 183 days), file Form 8840 by June 15.
  • Stay under your province's absence limit to keep health coverage.
  • Buy travel medical insurance covering the full trip and your conditions.
  • If you rent out or sell US property — or hold large US assets — see a cross-border accountant.
Income tax calculator Retiring abroad Best snowbird cards Taxes hub

Common questions

Snowbird tax FAQ

How many days can a Canadian snowbird spend in the US?
The number everyone quotes is 182 days in a calendar year — stay at or under that and you can usually avoid US tax residency. But the IRS also applies the substantial presence test, which counts a fraction of your prior two years. Many snowbirds who stay well under 182 days still "meet" that test on paper and must file Form 8840 to claim a closer connection to Canada. Separately, US Customs generally admits visitors for up to 6 months per entry, and your provincial health plan has its own, stricter day limit.
What is the substantial presence test?
It is the IRS formula for who counts as a US tax resident. Add: all your days in the US this year, plus one-third of last year's days, plus one-sixth of the days from the year before. If the total is 183 or more (and you were in the US at least 31 days this year), you meet the test. A snowbird who spends about 120 days a year stays under it; someone at 150 days a year does not.
What is IRS Form 8840 and do I need to file it?
Form 8840, the Closer Connection Exception Statement, is the snowbird's safety valve. If you meet the substantial presence test but were in the US for fewer than 183 days this year, filing Form 8840 tells the IRS your real home is Canada — your house, health card, bank, family and social ties — so you are not taxed as a US resident. If you have no other US filing, mail it on its own to the IRS in Austin, Texas by June 15 of the following year. File it every year you trip the test.
Do snowbirds still pay Canadian tax?
Yes. Wintering in the US does not end your Canadian tax residency — your home, spouse and ties keep you a factual resident of Canada, so you file a Canadian return and report your worldwide income as usual. The goal of Form 8840 is simply to avoid also being treated as a US resident, which would mean US tax on your worldwide income and extra filings.
Will I lose my provincial health coverage if I go south for the winter?
Only if you are away too long. Provincial health plans require you to be physically present a minimum number of days. In Ontario, for example, you must be in the province at least 153 days in any 12-month period — so up to about 212 days of absence, tracked on a rolling basis, not a calendar year. Other provinces differ (often around 5–7 months of presence). And provincial health pays almost nothing for care outside Canada, so travel medical insurance is essential.
Do I owe US tax if I own a Florida condo or US stocks?
Possibly. Renting out US property creates a US filing obligation (you can elect to be taxed on net rental income). Selling US real estate triggers US withholding and a US return. And US-situated assets — US real estate and US shares — can expose larger estates to US estate tax, with a Canada-US treaty credit that depends on the size of your worldwide estate. These are situations to take to a cross-border accountant; see when to hire a professional.

Educational only, not tax or legal advice. US residency, the substantial presence test and Form 8840 are IRS rules; the Canada-US treaty and provincial health-coverage day limits change and vary by province — confirm at the IRS, the CRA and your provincial ministry, and consult a cross-border tax professional for your situation. See our methodology.