Search found 39 matches

by elgoog
Tue May 04, 2021 3:16 pm
Forum: Canada / United States Tax & Accounting
Topic: 1040NR - IRS Refund Interest
Replies: 1
Views: 232

1040NR - IRS Refund Interest

I am a Canadian tax resident and a USA non-resident for 2020. I know that any interest from the U.S. is generally only taxable in Canada as per Treaty Article XI. I noticed that I received an interest on my refund from the IRS on my 2019 return. I have reported and paid tax on this income to the CRA...
by elgoog
Wed Apr 14, 2021 7:05 pm
Forum: Canada / United States Tax & Accounting
Topic: Question regarding T1135 Foreign Income Verification Statement
Replies: 5
Views: 493

Re: Question regarding T1135 Foreign Income Verification Statement

And also, if the securities are not generating any interest, dividends, etc., would the gross income be $0? Thank you.
by elgoog
Wed Apr 14, 2021 6:15 pm
Forum: Canada / United States Tax & Accounting
Topic: Question regarding T1135 Foreign Income Verification Statement
Replies: 5
Views: 493

Re: Question regarding T1135 Foreign Income Verification Statement

Thanks.

Another question regarding RSUs and cost basis. The instructions specify that you need to use cost basis. So e.g. if I received 100 shares at $10 in my brokerage account and 40 shares were sold to cover taxes, would my cost basis be $600 or $1000? Thanks
by elgoog
Wed Apr 14, 2021 4:13 pm
Forum: Canada / United States Tax & Accounting
Topic: Question regarding T1135 Foreign Income Verification Statement
Replies: 5
Views: 493

Question regarding T1135 Foreign Income Verification Statement

Hi, I am a Canadian resident working for a US employer and I was looking at T1135 - foreign income verification statement. I have the following property in the U.S. 1. Cash 2. Shares that I received as RSUs from my employer 3. 401K account The total value of these is over CAD $100K. Which ones of th...
by elgoog
Tue Apr 06, 2021 11:59 pm
Forum: Canada / United States Tax & Accounting
Topic: Canada -> USA commuter COVID
Replies: 1
Views: 339

Re: Canada -> USA commuter COVID

If you were a commuter, you need not claim back the tax. Check out the recently posted VII. Supplemental Guidance > C. Cross-border employment income > (ii) Canadian Resident Employees. You would then claim this as foreign tax credit on your Canadian return. If you were not a commuter or want to cla...
by elgoog
Tue Apr 06, 2021 5:50 pm
Forum: Canada / United States Tax & Accounting
Topic: CRA Supplemental Guidance, section VII cross-border workers
Replies: 18
Views: 1097

Re: CRA Supplemental Guidance, section VII cross-border workers

As you mentioned, the call to "come home" was for Canadians and since I am a Canadian citizen who was working in the US on a TN work permit, that applies to me. Regarding tax obligations, you are right that I will end up paying federal & state tax in the US as I previously was and I wi...
by elgoog
Tue Apr 06, 2021 10:24 am
Forum: Canada / United States Tax & Accounting
Topic: CRA Supplemental Guidance, section VII cross-border workers
Replies: 18
Views: 1097

Re: CRA Supplemental Guidance, section VII cross-border workers

Yep, I have significant residential ties in Canada and I never met the SPT to be considered a US resident. In my case, I was making weekly or biweekly trips from Canada but unable to do so any longer because of the travel restriction.
by elgoog
Mon Apr 05, 2021 1:29 pm
Forum: Canada / United States Tax & Accounting
Topic: CRA Supplemental Guidance, section VII cross-border workers
Replies: 18
Views: 1097

Re: CRA Supplemental Guidance, section VII cross-border workers

nelsona wrote: > Be careful. You were LIVING in californai, and leaglly allowed to do so, > not on vacation. You need to honerstly answer if you NEEDED to come back, > or chose to come back. > > If your place of employemnt was open, could you have stayed in Cali. I looked into this and if you look u...
by elgoog
Sat Apr 03, 2021 2:44 pm
Forum: Canada / United States Tax & Accounting
Topic: BC vacancy tax vs Canada resident, how to choose to save tax?
Replies: 9
Views: 511

Re: BC vacancy tax vs Canada resident, how to choose to save tax?

I am in the exact same boat. Here is what I can say: 1. If you both plan on living in the US, you can try and rent out your place and this will also help avoid the vacancy tax. Also, would https://www2.gov.bc.ca/gov/content/taxes/speculation-vacancy-tax/how-tax-works/terms-definitions#commuter-spous...
by elgoog
Fri Apr 02, 2021 8:33 pm
Forum: Canada / United States Tax & Accounting
Topic: CRA Supplemental Guidance, section VII cross-border workers
Replies: 18
Views: 1097

Re: CRA Supplemental Guidance, section VII cross-border workers

One more question regarding income sourcing rules: if I was in the US but went on vacation for a couple weeks to some third country like Mexico, would the vacation pay be sourced in USA or Canada?
by elgoog
Fri Apr 02, 2021 7:51 pm
Forum: Canada / United States Tax & Accounting
Topic: CRA Supplemental Guidance, section VII cross-border workers
Replies: 18
Views: 1097

Re: CRA Supplemental Guidance, section VII cross-border workers

I suppose for me, it falls in a grey area. I could have stayed in Cali if my place of employment was open. Having said that, they did mention that they will be posting a FAQ regarding this soon. If it turns out I can't use this relief, I will just file using income sourcing.
by elgoog
Fri Apr 02, 2021 3:29 pm
Forum: Canada / United States Tax & Accounting
Topic: Filing Form 1040NR and 8833
Replies: 3
Views: 329

Re: Filing Form 1040NR and 8833

Ah okay, makes sense. I was filing just for clarity. For reference, I was planning on using: Item 4: List the provision(s) of the limitation on benefits article (if any) in the treaty that the taxpayer relies on to prevent application of that article Ans: Canada-US Income tax treaty - use Article XX...
by elgoog
Fri Apr 02, 2021 3:22 pm
Forum: Canada / United States Tax & Accounting
Topic: CRA Supplemental Guidance, section VII cross-border workers
Replies: 18
Views: 1097

Re: CRA Supplemental Guidance, section VII cross-border workers

Yes, this is indeed a relief. One question regarding this would be: For my case, I worked in California before the pandemic started and came back when Canada decided to shut the borders and urged for Canadians to return. One question is: Would income sourcing rules apply for US state filing too? For...