Do I owe US taxes? (E-commerce)

This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

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BaelishX
Posts: 3
Joined: Wed Jan 02, 2013 6:49 pm

Do I owe US taxes? (E-commerce)

Post by BaelishX »

Hey guys, I'm in need of some help. I'm trying to figure out if I owe any US taxes. Here's my situation:

I'm a Canadian who lives and works strictly in Canada creating digital content (3D models). I submit this content to an online marketplace, an American company. They then sell my 3D models to customers from around the world. At the end of each month I get a share of the sales. The online marketplace sends me a US dollar cheque to my home in Canada - it has no taxes taken off it (The online marketplace pays the US taxes on their end). I only pay Canadian taxes on the funds I receive. No problems in 3 years thus far.

I've confirmed with the owner of the online marketplace that technically I'm considered a manufacturer supplying product to a retail store.

So with that information in mind, do I any owe US taxes? Is there any benefit for me to consult with a cross-border accountant?

Thanks for your time. :D
JGCA
Posts: 754
Joined: Thu Nov 18, 2010 3:05 pm
Location: Montreal, QC Canada

Post by JGCA »

Your are based in Canada, you have no permanent establishment in US nor do you spend more than 183 days in any 365 day period your income is considered Canadian sourced, all taxed in Canada only.
JG
BaelishX
Posts: 3
Joined: Wed Jan 02, 2013 6:49 pm

Post by BaelishX »

Thank you!
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