This bill establishes a special visitor status for qualifying Canadian retirees to stay in the U.S. for up to 240 days annually and clarifies their U.S. tax status.
Rick Scott
Senator
FL
The Canadian Snowbirds Act of 2025 establishes a new visitor classification allowing qualifying Canadian retirees, aged 50 and over, to stay in the U.S. for up to 240 days per year while maintaining their Canadian residency. This legislation clarifies that owning U.S. property will not automatically disqualify them from visitor status based on intent to immigrate. Additionally, the Act creates a specific tax status exception for these qualifying Canadians under certain conditions. All admissions remain subject to the final discretion of the Secretary of Homeland Security.
Canadian Snowbirds Bill: New 240-Day Visa for Retirees Comes With a Hefty U.S. Tax Bill
The aptly named “Canadian Snowbirds Act of 2025” isn’t about changing how we treat migratory birds; it’s about creating a structured, long-term visa for wealthy Canadian retirees who want to spend up to eight months a year in the U.S. The bill creates a new, specific pathway for Canadians aged 50 and older to enter the country under a B-2 visitor classification, allowing them to stay for up to 240 days within any 365-day period.
The New Rules for Extended Stays
This isn't a free-for-all; it’s a highly specific program. To qualify, the Canadian citizen must maintain their residence in Canada and prove they either own a home in the U.S. or have a signed rental agreement covering their entire intended stay here. This is a clear win for the U.S. real estate market in sunbelt states, as it legally requires participants to have established housing. Importantly, meeting these requirements means that simply owning a U.S. property won't automatically be used against them as proof that they intend to abandon Canada and immigrate permanently—a key concern for long-stay visitors under current rules. Spouses of qualifying retirees also get to come along under the same terms, even if they don’t meet the housing requirement themselves.
The Catch: No Work, No Benefits, and a Tax Headache
While the 240-day stay is generous, the conditions are strict. First, qualifying retirees are absolutely prohibited from working for pay in the U.S., with a narrow exception for remote work for a company that employed them while they were still in Canada. Second, they are explicitly barred from applying for federal public benefits or certain tax credits like the Earned Income Tax Credit. This keeps them off the U.S. safety net, which is a common political priority for new visa categories.
The biggest, most complex catch, however, is buried in Section 3, which deals with tax status. Normally, extended stays can lead to complex tax situations, but this bill cuts straight through that complexity: it mandates that Canadians admitted under this new status must be treated as a “resident alien” for U.S. tax purposes. Why does this matter? Nonresident aliens typically only pay U.S. tax on income earned within the U.S. Resident aliens, however, are generally taxed on their worldwide income, just like a U.S. citizen. For a retiree with significant pension income, investment earnings, or rental income back in Canada, this could drastically increase their U.S. tax liability, turning a snowbird vacation into a serious tax compliance burden.
DHS Gets the Final Say
Another critical detail is the power granted to the Department of Homeland Security (DHS). Section 2 specifies that the Secretary of Homeland Security has the final, unreviewable decision regarding admission or the revocation of this status. If a retiree is denied entry or has their status revoked, there is no judicial appeal or review process. This concentrates significant, unchecked power in the hands of DHS officials, meaning that while the rules are clear on paper, the ultimate decision to let someone in—or kick them out—rests entirely with the government, without recourse.