Search found 18244 matches

by nelsona
Fri Apr 13, 2007 9:27 am
Forum: Canada / United States Tax & Accounting
Topic: Canadian departure tax return - how long does it take ?
Replies: 2
Views: 2563

Departure return (in fact, all non-resident returns) are usually processed in mid-summer. They are last on the totem pole.
by nelsona
Fri Apr 13, 2007 6:26 am
Forum: Canada / United States Tax & Accounting
Topic: Can interest from Canada be excluded using 2555?
Replies: 7
Views: 4700

2555 is for earned income: wages, basically, not interst.

Credit for foreign taxes paid on non-US income goes on Form 1116.

Even for wages, you had the opton of 2555 or 1116.
by nelsona
Fri Apr 13, 2007 6:19 am
Forum: Business & Personal Immigration to the United States
Topic: Working for Canadian employer on dependant visa
Replies: 6
Views: 8811

just to make small correction, it's illegal from USCIS point of view.

It's only illegal from IRS pov if she doesn't report the income.
by nelsona
Thu Apr 12, 2007 3:25 pm
Forum: Canada / United States Tax & Accounting
Topic: LIRA Witholding Rate?
Replies: 16
Views: 9584

I aggree -- kind of.


Wait to see what the NR looks like. if it has the wrong code, it'll be TDW's problem.

But if it is coded correctly, you will have to pay at some point.
by nelsona
Thu Apr 12, 2007 3:22 pm
Forum: Canada / United States Tax & Accounting
Topic: LIRA Witholding Rate?
Replies: 16
Views: 9584

Yikes.

25%

25%

25%.
by nelsona
Thu Apr 12, 2007 2:21 pm
Forum: Canada / United States Tax & Accounting
Topic: NON REPORTING OF 401K Withdrawls
Replies: 8
Views: 6613

So they want the tax first, and then you appeal?

I would want to appeal first, methinks.

Had you added a note back in 2003 you would have been fine... now they will 'investigate'
by nelsona
Thu Apr 12, 2007 2:19 pm
Forum: Canada / United States Tax & Accounting
Topic: LIRA Witholding Rate?
Replies: 16
Views: 9584

The rate is 15%.

Not sure what you meant about the the IRA. That doesn't change its tax treatment in either country.
by nelsona
Thu Apr 12, 2007 1:34 pm
Forum: Canada / United States Tax & Accounting
Topic: NON REPORTING OF 401K Withdrawls
Replies: 8
Views: 6613

.. and just for my own peace of mind. Did you or did you not report these contributions as earning on your Cdn tax return, during 1996-2001. If you did, you might want to include copies of your W-2 and T1s to show that you did just that. Reviewing your posts, you seem to have been very careful never...
by nelsona
Thu Apr 12, 2007 1:20 pm
Forum: Canada / United States Tax & Accounting
Topic: NON REPORTING OF 401K Withdrawls
Replies: 8
Views: 6613

This is good news. To assist you in making your claim, remember 2 things; Your 401(k) is recognized as an Employer Benefit Plan (EBP). Very important to use this term. and that ITA (6)(1)(g)(ii) allows exclusion of income that is considered employee contribution. Look at IT-502 para. 19, and, if you...
by nelsona
Thu Apr 12, 2007 10:16 am
Forum: Canada / United States Tax & Accounting
Topic: NON REPORTING OF 401K Withdrawls
Replies: 8
Views: 6613

Just to clarify: If, however, you lived in Canada all that while you were working, You should have reported the income (in the year you withdrew it) with a note indicating that it was not taxable, due to it being the return of your previously taxed contribution. You would have detailed records of YO...
by nelsona
Thu Apr 12, 2007 9:59 am
Forum: Canada / United States Tax & Accounting
Topic: Determine residency status by income, how to?
Replies: 5
Views: 3432

In the year of departure, you report ALL world income earned before departure, and then ONLY CDn income which was not subject to flat NR tax after departure. This highlights the importance of telling your broker/banker/etc that you are non-resident.If you have not done so, this weakens your claim to...
by nelsona
Thu Apr 12, 2007 9:55 am
Forum: Canada / United States Tax & Accounting
Topic: Question about deferring RRSP income for permanent resident
Replies: 7
Views: 5057

When you withdraw funds from RRSP, you will be taxed on the growth by IRS. But for california, since you have already been taxed year by year on the growth, you will only be subjec tto tax o nthe growth from that year. california procedures allow for this.
by nelsona
Thu Apr 12, 2007 12:00 am
Forum: Canada / United States Tax & Accounting
Topic: NON REPORTING OF 401K Withdrawls
Replies: 8
Views: 6613

Ah... "essentially" does not mean "actually" in your case does it.? If not. then the money is fully taxable in Canada. Unl;ess you actually reported the contributions as income, you cannot exempt any of the proceeds. If, however, you lived in Canada all that while, You should hav...
by nelsona
Wed Apr 11, 2007 11:45 pm
Forum: Canada / United States Tax & Accounting
Topic: Canadian PR commuting to work in MI from ON on H1B
Replies: 1
Views: 2084

You should be filing in both US and Canada, and reporting ALL your icome in BOTH places.

Then you will take foreign tax credits, where eligible.

Please read more on this forum, your case is not complex.

I might answer more specifically --- but only after the filing deadlines have past.
by nelsona
Wed Apr 11, 2007 11:39 pm
Forum: Canada / United States Tax & Accounting
Topic: Is ufile.ca good enough to handle emigrant from Quebec?
Replies: 4
Views: 5306

As I said before, the stock option is part of your Cdn wages, so must be included with your wages on your Cdn return. The tax withheld on that is NOT NR tax (QC is not allowed to collect NR tax). It is tax payment to be included on your Fed and QC return. Only the tax owed when you calculate your re...