Hello,
I work for a US company but my wife is getting a job with a Canadian company and so we are thinking about moving back to Canada (we are both canadian citizens on green cards). I plan to work from Canada most of the year, but travel 5-10 times per year (for 1 week) down to the US to the corporate office. With regards to taxes,
1) What is the best option for types of federal forms to file? Should I file a US 1040 and then claim US taxes paid on my Canadian federal tax form? I don't want to lose my green card, and so is filing a 1040NR a bad idea?
2) For state (california) / provincial (BC) taxes, do I still have to pay california taxes? If not, is it possible to get my employer to stop withholding california taxes?
3) In either my fed or state/prov forms, is it possible that I will be paying (even slightly) double tax? My income is well over 100K, and California already taxes a lot of it....
Thank you
Greeen card holder, work for US company but live in Canada
Moderator: Mark T Serbinski CA CPA
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- Posts: 1
- Joined: Wed Jun 02, 2010 1:42 am
If you work from Canada, your firm should det you up as a Cdn employee.
f you live in Canada, all your icome will be taxed in canada, adn as a GC holder, all your income will be reportedon 1040. There will be tax credits given, but expect to pay Cdn/BC and Cali rates on work done in cali, and Cdn/BC rates on everything else.
You need to proactively keep your GC alive, as moving to Canada is grounds for confiscation of GC. At a minimum you need a re-entry permoy to keep it alobve for a couple of years (regularly traveling to US is not sufficient to keep GC going).
f you live in Canada, all your icome will be taxed in canada, adn as a GC holder, all your income will be reportedon 1040. There will be tax credits given, but expect to pay Cdn/BC and Cali rates on work done in cali, and Cdn/BC rates on everything else.
You need to proactively keep your GC alive, as moving to Canada is grounds for confiscation of GC. At a minimum you need a re-entry permoy to keep it alobve for a couple of years (regularly traveling to US is not sufficient to keep GC going).
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best