self-employed in Canada

This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

Moderator: Mark T Serbinski CA CPA

Post Reply
Alegna200
Posts: 1
Joined: Sun Jan 24, 2016 10:38 pm

self-employed in Canada

Post by Alegna200 »

I am a dual citizen living in Canada. I moved to Canada in March 2015. Prior to moving, I was employed as a teacher and was also a self-employed writer and graphic designer. After moving, I began working self-employed full time, though I did work seasonally for a Canadian company. I've always used Turbo Tax for filing my US taxes, but now it doesn't seem to be figuring things right for my self-employed earnings. When I enter my royalties (from wriitng they are earned income) they tax it. But living in Canada, I will be reporting it to Canada and they will tax it. Do I report all of my royalty earnings to the US or simply the amount I earned while living in the US? Should I totally scrap trying to use Turbo Tax for my US taxes?
nelsona
Posts: 18359
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

AS a USC living in Canada, you will continue to be taxed in BOTH countries from now on.

You will then need to get rekief from double taxation by applying foreign tax credits, some from Canada, some from US.

Remember tot, that your SE income is exempt from SE tax (but not income tax) in US. you will be paying Cdn cpp payments

The tax software handle it, you just have give more info to it,
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
Post Reply