Canadian moved to US to study, non-resident??

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.

Moderator: Mark T Serbinski CA CPA

Post Reply
NewtoUS
Posts: 16
Joined: Thu Jan 19, 2006 1:11 pm

Canadian moved to US to study, non-resident??

Post by NewtoUS »

I am a Canadian and moved to US on August 16, 2005 to study full-time in US. My husband stayed in Canada until Dec. 20, 2006 before moving to US. Recently CCRA sent me a letter notifying that they considered me as non-resident of Canada as of August 16, 2005 because I "haven't maintained significant residential ties with Canada" and declined my moving-expense claim in 2005 tax return.

In my 2005 Tax Return, I filed as a Canadian resident (I filed the emigrant forms) and reported my US income between August 16 through end of 2005. Here are my questions:

1) As my husband stayed in Canada until Dec 20, 2005, this is a very strong tie with Canada. I should be a resident at least until Dec. 20, 2005. My moving expenses were incurred in August 2005. I don't understand why I was not eligible to claim these expenses.
2) If, as CCRA stated in the letter, I was considered a non-resident as of August 16, 2005, then there's no reason for me to report my income (TA) from the US source. Since I already reported my US income in the return, can I contact CCRA and ask them to review my 2005 return?

Thanks in advance.
nelsona
Posts: 17768
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

Seems quite logical to remove your US income from after yourmove.

Generaly, CRA will nevr grant moving expenses due to leaving Canada, regardles of residency status.

Trouble is, that students are not usually considered non-residents of Canada, because theUS does not consider them US tax residents either.

I would amend your return, citing there non-residecy detrmination, putting an august departure date, and not reporting any US-sourced post-departure income
nelsona non grata. Non pro. Search previous posts. Happy Browsing :D
nelsona
Posts: 17768
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

I did tell you a while back that your moving expenses would not be deductible, did I not?

I am however surprised that they 'let go' of you so easily however.

oh well, your tax life will be much easier for future years.

don't forget that your moving expenses ARE deductible in US if you file a 1040.
nelsona non grata. Non pro. Search previous posts. Happy Browsing :D
NewtoUS
Posts: 16
Joined: Thu Jan 19, 2006 1:11 pm

Post by NewtoUS »

Thank you so much, nelsona, for the quick response. I will take your advice and amend my return. Can you please tell me how to file the amendment return or let me know where I can find relevant information? I haven't received my return because of this residency issue, but they completed my husband's return a couple of months ago.

Thanks again for the information.
nelsona
Posts: 17768
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

Obviously, the source is the CRA website. Use the "emigrant" guide to determine what shouldhave been reported. you will file a T1-ADJ
nelsona non grata. Non pro. Search previous posts. Happy Browsing :D
Veda44
Posts: 13
Joined: Thu Apr 29, 2021 5:18 am

Re: Canadian moved to US to study, non-resident??

Post by Veda44 »

I am a Canadian citizen and I have been living in the US for over 6 years now. In January, I will be moving to a new city and job. I have been working on a visa waiver program since 2007 and I have always paid taxes since then. Visit this [url=https://masterbundles.com/best-case-stu ... templates/]https://masterbundles.com/best-case-stu ... templates/[/url] for best ideas. However, because of my move to US, I do not want to file taxes for myself anymore.
Post Reply