Serbinski Accounting Firms

Ignore my last post. Look at this image instead:

[img]https://imagebin.ca/v/3uK2RcwaUJmV[/img]

Taxable income on 1040NR is higher than 1040 MFJ and hence the taxes: MFJ US Income $70,000 CA Income $10,000 Std deduction ($24,000) [b]Taxable Income $56,000 Tax $6,339 Tax rate (Tax / Taxable income) 11.32%[/b] XXV 1040NR US Income $70,000 Itemized deduction (State tax withheld) ($4,000) [b]Taxab...

If I don't make many trips to Canada (say a total of 10 weekend trips) and my stay in Canada is < 100 days can I then shield all my US income by taking deductions on Line 256 (invoking Article IV ) of the T1 return ? If that's possible then I can bring the US taxes down (by making 401 K / HSA contri...

Sorry for the late reply :-(. 1040MFJ I meant filing 1040 using section 6013-6 Election for my wife to be treated as resident for tax purposes. In this scenario FBAR/RRSP/LIRA/TFSA should be reported. Right ? Comparison of tax under different scenarios: (1) MFJ 1040: 6,000 (2) XXV 1040 NR: 7,500 (3)...

I did a quick comparison 1040 MFJ versus XXV 1040NR (with 24K std deduction on proforma 1040 and itemized deduction on 1040NR). Difference of $1,500 USD. I think it's worth "spending" $1,500 / year to avoid tons of paperwork :-).

Thanks Nelson.

Follow up question... On the 1040NR Itemized deductions: We can deduct only State Tax Withheld (i.e., no mortgage interest and property tax) . Right ?

Question on 2018 1040 Proforma Return (for filing 1040NR XVV(2))

Can we use Standard Deduction ?

Ignore this. Taxes are lower for NR :-).

Canadian Citizen worked in Indiana on TN-1 during the week (returning to Toronto for the weekend) Had an apartment (paid rent, utilities, etc.) in Indiana Only source of income is from the job in Indiana Based on the state tax document it seems I can. I will have file MFS (has to be same as the fili...

Thanks Nelson. Going with Option 2!

Option-1 File W7 with 1040X/2014-1040NR File extension for 2015-1040NR After receiving ITIN for the dependents file 2015-1040NR Option-2 File W7 with 2015-1040NR After receiving ITIN for the dependents file 1040X/2014-1040NR Which option is better ? Note: I am not considering sending themm all toget...

Thanks Nelson. have a great day!

I made a mistake in my original post on the year. It should read 2014. So the question is can I go back and change the RRSP deduction for 2014 (I have enough contributions, that was carried forward, to cover this). Thanks.

Thanks for the reply (Yes, I had made RRSP contribution but not deducted any in 2015).

Which is better online or paper filing (here I can give explanation, or doesn't matter ?

To rephrase my question, if I do online can CRA reject it for any reason ?

Thanks.

Hello Nelson, I got a bigger refund from IRS (due to clerical error) for 2015. This reduced the foreign taxes paid. I have to adjust my T1 (using T1-ADJ) to reflect this. Now CRA taxes owed has increased :-(. Can I increase my RRSP deductions for 2015 now (through T1-ADJ) to offset the decrease in f...