These are good examples nelson. I both of our cases we would be closer to your 1st example than to the second.
When I ran the numbers in Turbo Tax it seemed the tax rates were very close in our case (I included CAD taxes paid, mortgage interest & taxes) but I'm still not 100% sure I'm doing this right. I need to review within TurboTax again & do a few more searches here. Some things have changed since I did this last!
Article XXV NOT be better than 1040NR?
Moderator: Mark T Serbinski CA CPA
They need to be considerd for INCOME. but you do not have to bother with the reporting aspects.
The pro forma is you pretending to be a US citizen living in canada; whatever a USC would put on the 1040 as income has to go on the pro forma. Yopu are coming up with a RATE to apply against your 1040NR effectively connected income.
The pro forma is you pretending to be a US citizen living in canada; whatever a USC would put on the 1040 as income has to go on the pro forma. Yopu are coming up with a RATE to apply against your 1040NR effectively connected income.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing