Canadian Fellowship US taxes

[chs004]

I am a Canadian resident (on TN status) conducting research in a US institution. Recently, I received a research fellowship from a Canadian institution to work at my US institution. This research fellowship will cover my stipend. The money will be paid from the Canadian institution to my US institution, who will then handle the money and administer it (it is institutional policy and can't be change because the research fellowship was written sponsored by the US institution and thus considered the property of the US institution).

My question is how do I handle this based on US/Canadian taxes? My interpretation is that the Canadian funds are considered world income and thus I would pay US taxes first since I am considered in the US a resident for tax purposes (I have stayed in the US more than 183 days) and then pay my Canadian taxes. My concern is that the Canadian institution will administer to me a T4 and my US institution will give me a W5, which, in this case, may lead to double taxation (because what I make, on paper, will be doubled).

Any information would be helpful. Thanks.

[MaggieA]

If the Canadian institution is paying the money to the US institution, on what grounds could they possibly issue YOU a T4?

[chs004]

Thanks MaggieA. That does clarify things a bit. Maybe the Canadian institution won't be issuing me a T4. I'll need to make sure of that. Thanks again.

[nelsona]

What is your status in US. If it is J or F, you may not be taxable in US, but only in canada.