Visitor subject to Canada taxes?

[charlesrei]

I am a US Citizen/Resident. My wife is a US Citizen/Resident and a Can Citizen. We are contemplating moving (back) to Canada. We have been advised that we can cross as a family and that I could then apply for a work card. Until I get my work card, I would probably commute back to the states for work.

My question is: will I be considered a resident (and owe taxes on this income as part of my world wide income), even though I am barred from working in Canada until I get the work card and even though I wouldn't have been issued a PR? On the flip side, we will not have any house in the states, so I can't really claim the U.S. as a residence.

Second, I get a bonus each January. If I happen to move in October, say, would the bonus be counted as "world wide income" even though I earned most of it before we even moved to Canada. OR would only 1/4 of it be counted as world wide income.

[nelsona]

The moment you establish residential ties in canada with your family, you would be a Cdn resident for tax purposes.

Any income earned, form any source, after that date, would be fully reportable in canada.

You would both file "Newcomer" tax returns for the year you arrive.

Any payment you get after your arrival date would be fully reportable in canada. Mny returness try to time their return with such payouts in mind.

The fact that you cannot wrk in Canada is not important, nor is possesion or not of a PR card. Residential ties (including spouse and dependants) is the primary factor.

There are scenarios whereby you could contiunue to work AND LIVE in US, while your family goes to canada, where you would declare yourself non-residnt for tax purposes, but this does not seem to fit your case.

[charlesrei]

"[img]There are scenarios whereby you could contiunue to work AND LIVE in US, while your family goes to canada, where you would declare yourself non-residnt for tax purposes, but this does not seem to fit your case."

could you elaborate on these ? We are still in the planning stages so it would be worth understanidng those options. [/img]

[nelsona]

As I said, you could mantian your US home and visit Canada only occasionally, having your fsamily come and visit you instead.

Cdn taxes are not that high anymore, so going thru hoops to do this, in my opinion is not worth it.

If you are really concerned about working as soon as you go to canada, you are quite free to be sponsored and get work status BEFORE returning. You do not have to wait until you actaully move to canada to do this.

I would focus my efforts on planning my visa in this way rather than looking to save a couple of bucks (maybe) on Cdn taxes.