Hi, there,
I have been the commuter for 10yr. This year I got green card with commuter status (still living in Canada and commute to US). I'd like to know the options I have to file US tax with commuter green card status. I have employment income and My wife has business and employeement income in Canada and we have 2 young kids. My questions are:
1. Can I still use 1040NR by claiming tax-treaty benefit - what clause to use?
2. If using 1040, do I have choice to select MFJ or MFS status?
3. If I can choose 1040 MFS to avoid reporting my wife's canadian income, can I still claim my kids as dependants?
4. If I use 1040 MFJ, what kind of my wife's canadian tax/pension withholdings can be used as credit on 1040?
Thanks
Jin
Canadian commuter greencard - filing strategy for US Tax
Moderator: Mark T Serbinski CA CPA
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- Posts: 28
- Joined: Wed Nov 26, 2008 12:12 pm
How have you been filing in US up til now?
1. Yes. The residence clause.
2. Yes. MFS will likely result in higher taxes than you can use in Canada.
3. Proabaly
4. Her final taxes can be used, not her withheld tax,, on forms 1116. Her business income can probabaly be excluded using 2555, which would be better than using 1116 on this income.
1. Yes. The residence clause.
2. Yes. MFS will likely result in higher taxes than you can use in Canada.
3. Proabaly
4. Her final taxes can be used, not her withheld tax,, on forms 1116. Her business income can probabaly be excluded using 2555, which would be better than using 1116 on this income.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
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- Posts: 28
- Joined: Wed Nov 26, 2008 12:12 pm
You do need 8833, I'm sure you can find the article you need.
I'm also sure your software can figure out dependents. They will need ITINs.
I'm also sure your software can figure out dependents. They will need ITINs.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best