Serbinski Accounting Firms

[quote="clay"]Thank you very much Nelsona. The company I was working for had some questionable practices, so I am not surprised that it may have been mishandled by them.[/quote] You should ask them NOW whether they are treating you as an employee, and if they intend to issue you a T4 slip ...

AMT paid on US source employment income is creditable on your T1 against the Canadian tax. So, unless the total US taxes paid are not being fully credited on your T1, there is no need to file a 1040. But, as Nelson has said, filing a 1040 jointly will - relatively speaking - reduce or eliminate AMT ...

[quote="user123"]Ok, so bottom line I guess is that I am out of luck. It is not likely that they would go through the hassle of setting up a Canadian payroll and other associated headaches for one employee. Thanks for your help![/quote] You are probably right about it being a hassle as hav...

[quote="nelsona"]There is a prescribed order: US first, without taking into account any foreign tax. Then use these results to complete your Cdn return. Then adjust your US return ONCE based on the Cdn result.[/quote] Nelson, sorry to hijack, but I found it interesting that you mentioned t...

Usually no benefit for the reason you state, but you might want to do a proforma Canadian return assuming US taxes calculated as a single and make sure that you fully absorb the foreign tax credit (US Federal, State tax paid, plus SocSec and Medicare withheld).

The W-2 is the correct form to use for the US sourced earnings. Assuming it was correct to issue the T4 for his 6 month's wages in Canada, i.e. he was there more than 183 days or there is a branch office in Canada, then the W-2 should only include the US portion. They wouldn't have to issue a T4 and...

m1 is correct in surmising that the W-2 should not include the Canadian wages which are reported on his T4 slip. m1 did not earn $150,000 world income. If tax was required to be withheld under Canadian rules, then that income is Canadian source and is reported on a T4. That same income is then not U...

They are not taxes paid. Any overpayment of SS can be claimed back on line 67 I believe.

SS and Medicare can be claimed as US taxes paid for foreign tax credit purposes on a Canadian T1 where the income is taxable to a Canadian resident.

Correct

No. Show that you are married, but do not claim an exemption for him, just yourself. An exemption for him will likely reduce your US tax, so getting an ITIN might be worth the effort. BUT, if the lower US tax just results in a lower foreign tax credit on your Canadian return, the savings will be pai...

1. I don't myself use EZ forms, but since all you will be reporting is the US W-2 wages, those should do fine. 2. No. 3. No, though the SS and Medicare can be claimed as "tax paid" for foreign tax credit purposes (along with the US Federal and State tax calculated on your US returns) on yo...

Nelson is spot on on the IRA; I looked this very thing up for a client a few days ago. On the Canadian tax deferral issue, Nelson, this applies to spousal rollovers, but [u]very rarely[/u] to anything left to others, i.e. kids. In fact, I can off hand only think of leaving an RRSP to a dependent min...

That result would be very unusual. The tax credit method almost always results in lower tax. Are you taking your net US taxes from your tax returns (1040NR and State), as well as your SS and Medicare and using this in your FTC calculation? Remember, after you offset your Canadian Federal tax on Sch ...

Write them a letter explaining why you are not required to file a return. Do not send in the NR73 voluntarily!

How's that for servioce: two for the price of one. :-)

And no, Nelson and I are not disagreeing on #2.