Canadian living temporarily in US- tax question

vancouver · Post by **vancouver** » Mon Feb 06, 2012 10:27 pm

Hi, I've been trying to figure out the best way to file my income taxes this year, but it's a bit confusing. I'm a Canadian citizen, currently working/training in the US on a J1 visa. Left Canada June 30, and had effective income in Canada from Jan 1-June 30, and in the US from July 1- present. My wife and son are still living in Canada, and have only come down here for 2 weeks since July 1. I will be moving back to Canada as of July 1, 2012. My assumption is that I file as a non-resident alien, as married filing separately, and cannot claim my son as a dependent. I would like to claim my wife as a spousal exemption, and can send in a W7 form. Is this correct? Will this affect my wife's Canadian tax returns? She earns income from Canada, but none in the US. And is it significantly beneficial to claim my wife as an exemption? Thanks in advance!

nelsona · Post by **nelsona** » Mon Feb 06, 2012 10:55 pm

J1 status specifically forbids you from becomeing US tax resident, so, as such, you remsain Cdn tax filer, full year.

As you say, in US you are filing as a non-resident, reporting only US income there. If you need to report your family as dependents, you sinple submit a W-y with your tax return, asnd these will be issued.

vancouver · Post by **vancouver** » Mon Feb 06, 2012 11:13 pm

Thanks for your reply. After some more reading, it seems that I may be able to claim my son as a dependent if my wife signs a written declaration stating that she won't claim him as a dependent herself? Is this valid only in the US, because she may claim him as a dependent in Canada...

nelsona · Post by **nelsona** » Mon Feb 06, 2012 11:25 pm

Yes that only applies in US.