Do I register a branch in the US?

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Sujane80
Posts: 25
Joined: Tue Sep 27, 2011 4:02 pm

Do I register a branch in the US?

Post by Sujane80 »

I have posted here recently under another topic and the answers I got lead me to think that since much of our IT (in fact, all, right now) consulting revenue through our Canadian Corp is coming from the US, we could lose our status as a Small Business for tax purposes in Canada, not to mention that we will have to pay taxes in the US.

Should we then register a company in the US, such as in Delaware or Nevada, and route the US revenue through that? Will that mean that instead of our consultants (2) working in the US on a TN visa (sponsored by the staffing company in the US), they should travel to the US on a business visa of some kind?

Has anyone done this and can you tell me how it works? I am going to be talking to a cross-border tax expert but I want to be prepared.

Any help would be appreciated.
nelsona
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Joined: Wed Oct 27, 2004 2:33 pm
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Post by nelsona »

They will need TN more than ever now, since they will no longrer be working for as Cdnb company. They probably could have entered on B1 now, but not in future.

Your employee's TN could probably be sponsored by your comapny at that point. You and spouse however would not be able to get TN thru your firm, and would still need client or agency sponsorship.
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
nelsona
Posts: 18680
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

You would also now need to do corporate filing in US.
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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