That didn't work either. I also tried a simpler form:
=IIf([COUNTRY] <>"CANADA", [TELEPHONENOTUSCAN], Replace(Format([TELEPHONE] "###-###-####")))
This doesn't give the USA phone numbers, but it will others:
=IIf([COUNTRY] <>"CANADA" or "USA", [TELEPHONENOTUSCAN], [TELEPHONE])
And I tried...