TN holder- Incorporated in Canada

Stuart · Post by **Stuart** » Wed May 04, 2005 11:10 pm

Hi all, I am a Canadian citizen currently working on TN in the USA. I am incorporated in Canada and have an EIN for US.My accountant says it is OK to pay corporate taxes on US earned income here in Canada without having to worry about US tax filing. I am just trying to make sure that filing taxes here in Canada ( per my accountant )is not going to cause me any grief. I have no desire to stay in US long term. I will NOT be applying for GC etc. either. Thanks much. Stuart

Stuart · Post by **Stuart** » Fri May 06, 2005 7:54 am

I am wondering if some one can suggest a web site that might have information on this topic that I raised earlier. I am sorry if I posted this message in a wrong forum.

nelsona · Post by **nelsona** » Fri May 06, 2005 10:25 am

Sorry, not every question has an answer on a website. This one is pretty good (and unique on the web, I might add).

You have an accountant; if you are unsure of his position, consider consulting another.

<i>nelsona non grata... and non pro</i>

Russ · Post by **Russ** » Fri May 06, 2005 1:35 pm

Okay, I'll jump in, but without the brilliance of many others on this board, but to just consider what you're asking.

If you're in the US on a TN - and working physically in the US - then you are employed by someone there, and your pay is for work performed there.

So, you must pay taxes in the US, right? Also, all your social taxes, etc. will be paid to the US Gov't too, right?

I understand you have a company in Canada, but the work occurred in the US and you are on a TN, not a company xfer Visa.

So again, I cannot see how flowing the money into the Canadian corporation without paying taxes in the US is possible. The TN makes you an employee - and therefore taxes are due in the US.

Right?

Russ

nelsona · Post by **nelsona** » Fri May 06, 2005 2:04 pm

Russ probably should have stayed out of the pool, or at stayed with me in the shallow end.[B)]

You can indeed have a TN and be self-employed, and that self-employment can be thru a Cdn corp. TN does not automatically make you an employee, since MANY tners are paid by 1099, not W-2.

The presence in US is not the determining factor for self-employeds.

The 'fixed-base' issue is the over-riding one, and the fact that the person must still live in canada.

That's about all I'll say on this issue, since I usually leave corporate tax matters to someone who charges for their services.

Corporations can afford to pay for information. can't they?
<i>nelsona non grata... and non pro</i>

Russ · Post by **Russ** » Fri May 06, 2005 2:52 pm

Boy did I learn some new info!

Thx. again Nelson as it'll make me consider other options I can use in the future.

Russ

Stuart · Post by **Stuart** » Sat May 07, 2005 8:51 am

Hello Russ and Nelsona, Thanks for the information. I appreciate your valuable input.