CDN citizen work in the US, inCanada over the week end

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Adam_kheil
Posts: 6
Joined: Fri Oct 01, 2010 5:29 pm

CDN citizen work in the US, inCanada over the week end

Post by Adam_kheil »

Hi I am a CDN citizen and will be working in the the USA on a TN. I will travel to US Mon-Friday on the TN. I have 2 children and they will stay in Canada with my wife. Now for some weeks I might have to work remotely from Canada for my US company's clients in the USA. I will be working for the US company as an employee.

Will I be filling US taxes or CDN? I will keep US DL and apartment?
nelsona
Posts: 18363
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

You will become Cdn residdent, and thus will file in Canada as before. reporting world income.

Your will be a US non-residnt if your wish, or will file as US resident, to get lower US tax rate, and then apply that tax on your Cdn return.

There is also an Artile XXV return that married Cdn residents can file, which further reduces US tax. In the end you will pay Cdn tax rates on all your income.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
Adam_kheil
Posts: 6
Joined: Fri Oct 01, 2010 5:29 pm

Post by Adam_kheil »

Thanks for a reply. Even if I am in the US for more than 183 days I will have to file CDN taxes?
I can livce in Buffalo, NY with family. If you could give me an idea I will appreciate it. Will it save me more taxes if I live in Buffalo, NY with family and visit Canada just on the weekends or maintain residence in Cnada and return to canada on the weekends? Tax saving wise is it better to maintain CDN or US residence?
Adam_kheil
Posts: 6
Joined: Fri Oct 01, 2010 5:29 pm

Post by Adam_kheil »

sorry Nelsona I forgot to mention that I am already in the USA with family since January 2010 working on a TN and have already spent more than 183 days in the USA.
nelsona
Posts: 18363
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

The number of days spent in USA so far this year does not matter if you and your family return to canada: you will become resident the day you move.

Obviously if you move within US, you will remain a US tax resident.

If you really intend to move back to Canada for reasons other than tax, you may want to explore becoming self-employed, living in canada, and only visiting US occasionally for work. If you remain an employee, and living in canada, the firm is supposed to put you on a Cdn payroll. You would then only pay Cdn tax.

Since the employee benefits you get while in US are of little use to you when living in canada, many feel it is better to become self-employed at that point, for the extra write-offs (and ask for a higher remuneration due to not having benefits).

Most people who straddle the border (eg live in Windsor work in Detroit) report that they do not pay more tax in Ontario that if they lived in michigan -- particularly if married and spouse not working. I beilieve NY tax is higher than Michigan, so there may be tax saving by living in Ontario, plus no commute.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
Adam_kheil
Posts: 6
Joined: Fri Oct 01, 2010 5:29 pm

Post by Adam_kheil »

Thanks a lot!
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