Hello,
I am a Canadian that has Australian citizenship as of this year, my husband is an American with Australian citizenship as of this year - we have a house in Australia which we currently rent out and I have just inherited a house in Canada with a small mortgage that we are planning to keep and rent out as well - I have a job offer in the US and am planning on going over with TN status for a couple years starting at the end of Feb. Does this mean we will be filing taxes in Australia, Canada and the US? and I suppose it would be wise to have an accountant in each country or is it possible to find one that could handle all the taxes?
(My husband also owns a consulting company in Australia that will be pretty much dormant of incoming monies for most of 2010 and all of 2011 - tax season in Oz is July 1 - June 30)
Just trying to grasp what we're getting ourselves into...
TIA
keeping a house in Canada
Moderator: Mark T Serbinski CA CPA
If the only thing you have in Canada is a rental, and you live elsewhere, you would only have to file a special '216' return for that income only. BUt monthly payments must be made to the govt off the rental.
Your husband of course must file US returns wehrever he lives, as a citizen.
I don't know what teh filing reqirements for australia are, but I suspect only actula residents need to file there, including resident corporations.
It would be best to find an accountant who could hamdle all three so that they can co-ordinate them to your benfit.
Your husband of course must file US returns wehrever he lives, as a citizen.
I don't know what teh filing reqirements for australia are, but I suspect only actula residents need to file there, including resident corporations.
It would be best to find an accountant who could hamdle all three so that they can co-ordinate them to your benfit.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing 
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baby_king_bob
- Posts: 14
- Joined: Tue Oct 13, 2009 7:00 pm
nelsona is correct, but to expand a little bit:
- you can request to have the non-resident tax withholdings apply to NET rental income (otherwise would apply to GROSS rental income) -- a competent Canadian tax advisor can instruct you on how to do this.
- the fact that you're asking the question now tells me you're on top of things, but it's still important to note that a section 216 return is *elective*. If you fail to make this election within the prescribed period, bad irreversible things happen :) Please speak to a tax advisor.
unless you engage an international accounting firm (which would be very expensive) I'd caution against small, independent accountants who would offer to look after all three filings.
- you can request to have the non-resident tax withholdings apply to NET rental income (otherwise would apply to GROSS rental income) -- a competent Canadian tax advisor can instruct you on how to do this.
- the fact that you're asking the question now tells me you're on top of things, but it's still important to note that a section 216 return is *elective*. If you fail to make this election within the prescribed period, bad irreversible things happen :) Please speak to a tax advisor.
unless you engage an international accounting firm (which would be very expensive) I'd caution against small, independent accountants who would offer to look after all three filings.
From the source:
http://www.cra-arc.gc.ca/E/pub/tg/t4144/README.html
http://www.cra-arc.gc.ca/E/pub/tg/t4144/README.html
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing