W2 - to CRA
Moderator: Mark T Serbinski CA CPA
Your income, according to CRA rules includes your WAGES, PLUS any 401(K) contributions you made, PLUS any FICA contributions your made.
So, Box 1 + any amount in box 12 relating to 401(k).
CORRECTION: Most do NOT include FICA.
All converted to USD of course, at the yearly rate.
So, Box 1 + any amount in box 12 relating to 401(k).
CORRECTION: Most do NOT include FICA.
All converted to USD of course, at the yearly rate.
Last edited by nelsona on Sun Feb 05, 2006 8:19 am, edited 1 time in total.
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CRA has not published specific guidance on these. Stick to what they have asked for.
Since you will be sending a copy of both your 1040 and your W-2, they can come back for more if they wish.
Since you will be sending a copy of both your 1040 and your W-2, they can come back for more if they wish.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing
CORRECTED:
Just to clear up any confusion as to what is in box 1.
Cdns are used to T4's which include ALL income, and then having various dedcutions in other boxes.
On W-2's however, for "Pre-tax" deductions, ie. those taken off at source and considered by IRS to be tax deductions, these arer NOT reported in Box 1. These would include 401(k) and other pension contributions made by the employee as well as medical premiums (medical, dental, vision, Health care FSAs, etc).
Then again, if you live in canada (otherwise you wouldn't be reporting W-2 income) you probably should be opting out of any expensive healthcare package at work. And you probably shouldn't be contributing to a 401(k) either.
Just to clear up any confusion as to what is in box 1.
Cdns are used to T4's which include ALL income, and then having various dedcutions in other boxes.
On W-2's however, for "Pre-tax" deductions, ie. those taken off at source and considered by IRS to be tax deductions, these arer NOT reported in Box 1. These would include 401(k) and other pension contributions made by the employee as well as medical premiums (medical, dental, vision, Health care FSAs, etc).
Then again, if you live in canada (otherwise you wouldn't be reporting W-2 income) you probably should be opting out of any expensive healthcare package at work. And you probably shouldn't be contributing to a 401(k) either.
Last edited by nelsona on Sun Feb 05, 2006 8:20 am, edited 1 time in total.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing
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Just to clear up any confusion, Box 1 on form W2 is Gross income including any social security deductions, but less pension contributions noted in Box 12 (D).Your income, according to CRA rules includes your WAGES, PLUS any 401(K) contributions you made, PLUS any FICA contributions your made.
So, Box 1 + box 4 + box 6 + any amount in box 12 relating to 401(k).
All converted to USD of course, at the yearly rate.
You therefore only need to add back the 401(k) contribution, and not FICA.
Mark
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That is true for employees.
Of course, *some* of the self-employment taxes that one calculates (which are in effect the employer's half of FICA) is deductible on page 1 but that doen'rt apply to W-2 income.
Of course, *some* of the self-employment taxes that one calculates (which are in effect the employer's half of FICA) is deductible on page 1 but that doen'rt apply to W-2 income.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing
So, for tax paid to US we should sum up box 2 (federal) and Box 17 (state)?
The result could be used for tax credit. (I mean "The Result multiply proportion of days resident Canada multiply Bank of Canada exchange rate")
Also, I used my move expens as deduction to IRS, can deduct it from CRA as well?
The result could be used for tax credit. (I mean "The Result multiply proportion of days resident Canada multiply Bank of Canada exchange rate")
Also, I used my move expens as deduction to IRS, can deduct it from CRA as well?