Canada has become a common next step for Nigerian professionals, students and founders. The move brings a new salary, new bank accounts and a new tax system. It also raises a quieter question: what happens to the money you already invested, and to the money you invest next?
The answer gets harder when savings sit in Nigeria, Canada and perhaps the US at the same time. That is often the point where families start comparing investment management services that work with Canadian and US accounts. This guide sets out the main rules in plain terms. It is general information, not personal tax or investment advice.
What Changes for Your Money the Day You Land?
Canada taxes you as a resident once you have enough residential ties. For most newcomers, the CRA says this starts on the first day you live in Canada. From then on, you generally report your world income, meaning income from sources inside and outside Canada.
Income you earned abroad before becoming a resident is a different matter. The CRA says you will not pay Canadian tax on it. That makes your arrival date an important line in your records.
Shares you already own get special treatment too. The CRA considers you to have sold certain property and immediately reacquired it at its fair market value on the day you became a resident. In practice, that value generally becomes your cost for any later gain or loss. Write down what each holding was worth on that date, and keep the statement.
Which Canadian Accounts Open Up for Newcomers?
Two registered accounts usually come up first. Each has its own rules, and the limits change over time.
- Tax-Free Savings Account (TFSA). A TFSA is a registered account where investment growth is generally not taxed. The CRA sets the 2026 TFSA dollar limit at $7,000. Excess contributions are taxed at 1% per month for as long as they stay in the account.
- Registered Retirement Savings Plan (RRSP). The CRA lists the 2026 RRSP dollar limit as $33,810. Your own limit depends on your earnings and filing history. In your first year filing a Canadian return, the CRA says you generally cannot deduct RRSP contributions.
- Non-registered accounts. These have no contribution limits. Their income, such as interest and dividends, is generally taxed in the year you earn it.
The order you fill these accounts in depends on your income, plans and timeline. A Canadian tax professional can work through it with your real numbers.
How Do Holdings Back Home Fit In?
Many readers keep Nigerian shares, funds or property after they move. Ndubuisi Ekekwe of Tekedia has argued that the diaspora should move from money to capital, owning assets at home rather than only sending remittances. That idea carries reporting duties once you live in Canada.
The CRA requires Form T1135 from Canadian residents who own specified foreign property costing more than $100,000 at any time in the year. The threshold uses cost, not market value. The form is due with your return, which is April 30 for most individuals and June 15 for the self-employed.
Double taxation is the other worry. When tax was also paid abroad on the same income, the CRA points to Form T2209 for a federal foreign tax credit. Whether it applies depends on the income and any treaty, so check before you file.
What If Your Career Moves On to the US?
Plenty of professionals see Canada as one stop, not the last. Tekedia has covered how long-term immigration goals shape choices made early. A later move south adds a third set of investment rules.
- Residency by days. The substantial presence test is the IRS day count for residency. It generally adds all days this year, 1/3 of last year’s days and 1/6 of the year before. Meeting 31 days this year and 183 weighted days can make you a US tax resident.
- Worldwide income. Once you are a US tax resident, IRS guidance makes your income from every country subject to US tax.
- Foreign accounts. The FBAR is a FinCEN report of foreign financial accounts. A US person generally files an FBAR if foreign accounts exceed $10,000 combined at any time in the year. It is due April 15 and extends automatically to October 15.
- Foreign funds. A US shareholder in a passive foreign investment company may need Form 8621, for example after a distribution or a sale at a gain.
Canadian and Nigerian accounts do not disappear when you cross the border. Each one may need a fresh look under US rules.
What Protects Your Accounts, and What Doesn’t?
These schemes step in when a dealer collapses. They do nothing when share prices drop, and that gap matters when comparing promises across countries.
| Scheme | What it covers | Limit |
| CIPF (Canada) | Property held by a member firm that becomes insolvent | $1 million for general accounts combined, and $1 million for registered retirement accounts combined |
| SIPC (US) | Customer securities and cash at a failed member brokerage | $500,000, including a $250,000 limit for cash |
| Neither | A drop in the value of your investments | Not covered |
The CIPF coverage rules state plainly that it does not cover a drop in value for any reason. No regulated account, in any country, guarantees a return. Nigeria’s SEC lists known investment scams and warns about operators that promise extraordinary returns.
Questions to Settle Before You Invest Across Borders
A short list of questions can save expensive corrections later.
- What was each foreign holding worth on your Canadian arrival date?
- How much TFSA and RRSP room does your CRA account show?
- Does the total cost of your Nigerian assets pass $100,000?
- Could a US job make you a US tax resident under the day count?
- Is every adviser or platform you use registered with the right regulator?
Bring statements from every country to any adviser you meet. A cross-border specialist can only plan with the full picture.
Frequently Asked Questions
Do I Pay Canadian Tax On Income I Earned Before Moving?
The CRA says income earned outside Canada before you became a resident is not subject to Canadian tax. After your residency date, you generally report world income. Keep records that show which side of that date each payment fell on.
Can a Newcomer Open a TFSA Right Away?
You generally need to be at least 18 and resident in Canada. The 2026 dollar limit is $7,000, and over-contributions are taxed at 1% per month. Check your available room in your CRA account first.
Do I Have to Report My Nigerian Shares to the CRA?
You generally must file Form T1135 once the cost of your specified foreign property tops $100,000 at any point that year. It is filed with your return. Smaller holdings still count toward your world income when they pay you.
Are My Investments Guaranteed If I Use a Registered Firm?
No. CIPF and SIPC cover certain losses when a member firm fails, within set limits. Neither covers a fall in market value, and no regulated account guarantees returns.