Move to US from Canada on H1-B

Karim · Post by **Karim** » Wed Jul 20, 2005 5:50 pm

I started work July 1st. 2 year contract that may be extended. Sold my house in Canada. Wife and kids have moved with me. Wife does not work in the US but has 2 revenue properties under her name in Canada. We also have bank accounts and RRSP's in Canada. How do we avoid paying tax in both countries? What is the threshold to claim non-residency status? Will my wife be treated differently as she has income derived in Canada? Will my first year be treated differently as I have worked and had tax whitheld in Canada for part of the year?

nelsona · Post by **nelsona** » Wed Jul 20, 2005 10:21 pm

You are both considered Emigrants form canada, having departed July 1.

You will be non-residents from July 1 on, and will thus only pay Cdn tax on Cdn income.

See the various guides at CRA website.

Rental income MUST have taxes withheld every month and remitted to CRA.

You must advise bank, RRSP that you are living in US.

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