TN visa income, now going to Europe on CDN contrac
Moderator: Mark T Serbinski CA CPA
TN visa income, now going to Europe on CDN contrac
Hello. I'm working in the US on a TN visa. I will have worked here for 8 months in 2005. After September, however, I will be going to an internship overseas. I will be paid in Canada, on contract, by Foreign Affairs Canada. I'm trying to figure out my tax situation. I will not be back in Saskatchewan for more than 5 days between leaving the US and going to Europe. (I have no healthcard, etc) Who do I file with? - where am I a resident for tax purposes? Help, please.
In your unusual case, your residential ties don't really mean much, since you are being Paid by the Cdn govt.
This makes you (if you don't live in Canada) a DEEMED RESIDENT for tax puropes.
The money is not taxable in US, and probably not in your European country as well. You will be taxed only in Canada for this income.
Your US tax situation (for your TN and other US income) will depend on how you filed last year 2004. Unless you only arrived in 2005, you can file a 1040 like everyone else, reporting all 2005 income, exept the DFAIT income which you DEFINITELY exclude by treaty clause.
<i>nelsona non grata... and non pro</i>
This makes you (if you don't live in Canada) a DEEMED RESIDENT for tax puropes.
The money is not taxable in US, and probably not in your European country as well. You will be taxed only in Canada for this income.
Your US tax situation (for your TN and other US income) will depend on how you filed last year 2004. Unless you only arrived in 2005, you can file a 1040 like everyone else, reporting all 2005 income, exept the DFAIT income which you DEFINITELY exclude by treaty clause.
<i>nelsona non grata... and non pro</i>