Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

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llll
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Joined:Sun Dec 27, 2020 7:37 pm
Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by llll » Sun Dec 27, 2020 7:54 pm

I am a U.S. citizen and a Canadian permanent resident. I have a job offer from an U.S. firm which will be paying me as a regular employee via W-2 while I work remotely from Canada. My understanding is that they will withhold my U.S. taxes.

1. I really want to take this job, and don't want to spook the employer by asking to be employed as a contractor etc. What is the best way to go about filing my U.S. and Canada taxes in this situation?
2. Can I just file CRA tax return later and claim FTE?
3. I would prefer to let my employer do what they want and for me to "fix" everything tax-wise by filing whatever I need to with IRS and CRA. What forms would I need to file with IRS and CRA and in which order?
4. Any advice is welcome
Thanks!

ND
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Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by ND » Mon Dec 28, 2020 5:14 pm

Private message me or give me your contact and I will give you the perfect solution that you seek as US employed Cdn resident with happy employer.

nelsona
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Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by nelsona » Mon Dec 28, 2020 9:27 pm

An employer, employing an employee, living and working in canada MUST collect Cdn payroll tax.

This was confirmed as recently as a few months ago when CRA announced special rules for employyes "stuck" in canada. They ais that without a waiver, foreign employers would need to begin collecting Cdn taxes EI, etc

Beware of answers given by private message, as they are unvetted by other "experts". A correct and legal answer can always stand in the light of day.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D

szbjsh
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Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by szbjsh » Mon Dec 28, 2020 9:58 pm

Thanks, nelsona. Just wondering if one works remotely for a US employer from Canada in this case and they paid into US social security tax, will they get a refund back for the social security tax? I have been told that since the income is Canadian sourced, social security tax can't be claimed back since they are erroneously paid in the US.

nelsona
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Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by nelsona » Mon Dec 28, 2020 11:00 pm

Yes, that is another "problem" with not being correctly payrolled.

Since this is a transfer, your US firm should have no problem negotiating some arrangement with its sister company in Canada to arrange payroll.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D

ND
Posts:173
Joined:Thu Feb 21, 2013 5:28 pm

Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by ND » Tue Dec 29, 2020 12:59 am

"Beware of answers given by private message, as they are unvetted by other "experts". A correct and legal answer can always stand in the light of day."

My answer is NOT unvetted. I am a tax expert. I do have the perfect referral for you to exactly help your situation without needing a tax solution. I do not wish to post the referral publicly. The firm I refer you to has a correct and legal answer that stands in the light of day.

An unfair comment by Nelsona.

llll
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Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by llll » Tue Dec 29, 2020 4:30 pm

ND wrote:
> Private message me or give me your contact and I will give you the perfect
> solution that you seek as US employed Cdn resident with happy employer.
I dont know how to private message. Can you message me?

llll
Posts:10
Joined:Sun Dec 27, 2020 7:37 pm

Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by llll » Tue Dec 29, 2020 4:43 pm

nelsona wrote:
> An employer, employing an employee, living and working in canada MUST
> collect Cdn payroll tax.
>
> This was confirmed as recently as a few months ago when CRA announced
> special rules for employyes "stuck" in canada. They ais that
> without a waiver, foreign employers would need to begin collecting Cdn
> taxes EI, etc
>
> Beware of answers given by private message, as they are unvetted by other
> "experts". A correct and legal answer can always stand in the
> light of day.
Yes, but if my employer does not run a Canadian payroll for me, it is on them right? I would not get in trouble for it? I have clearly let my employer know that I will be working remotely from Canada. However, I dont wanna poke around on how they plan to do my payroll, lest they rescind the offer. If CRA audits the employer, do they pay a BIG fine or would it be just a matter of re-doing some paperwork on employer's end?

nelsona
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Location:Nowhere, man

Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by nelsona » Tue Dec 29, 2020 8:16 pm

This is a public forum, run by a tax professional. Hpe you are feeding your knowledge back to them "privately" too, as a courtesy.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D

nelsona
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Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by nelsona » Tue Dec 29, 2020 10:37 pm

But seriously ND, your insights are quite valuable and accurate, and have helped me/us a lot. I don't want to miss out on any.

Personally, I NEVER answer anything privately, for fear I misspeak, and so that others can correct my answers if they are wrong, or all can benefit if they are right. I give them the same warning I gave szbjsh.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D

llll
Posts:10
Joined:Sun Dec 27, 2020 7:37 pm

Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by llll » Wed Dec 30, 2020 2:36 am

nelsona wrote:
> But seriously ND, your insights are quite valuable and accurate, and have
> helped me/us a lot. I don't want to miss out on any.
>
> Personally, I NEVER answer anything privately, for fear I misspeak, and so
> that others can correct my answers if they are wrong, or all can benefit if
> they are right. I give them the same warning I gave szbjsh.
Hi Nelsona, any comment on my questions earlier, pasting my previous comment below:

"Yes, but if my employer does not run a Canadian payroll for me, it is on them right? I would not get in trouble for it? I have clearly let my employer know that I will be working remotely from Canada. However, I dont wanna poke around on how they plan to do my payroll, lest they rescind the offer. If CRA audits the employer, do they pay a BIG fine or would it be just a matter of re-doing some paperwork on employer's end?"

nelsona
Posts:16654
Joined:Wed Oct 27, 2004 2:33 pm
Location:Nowhere, man

Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by nelsona » Wed Dec 30, 2020 11:27 am

I suggest you get in touch with "ND". He is more knowledgeable on getting around this problem.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D

llll
Posts:10
Joined:Sun Dec 27, 2020 7:37 pm

Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by llll » Wed Dec 30, 2020 12:22 pm

nelsona wrote:
> I suggest you get in touch with "ND". He is more knowledgeable on
> getting around this problem.
I am not able to visit any of the users profile or message them. Is my account restricted or something? "ND" can you please message me?

ND
Posts:173
Joined:Thu Feb 21, 2013 5:28 pm

Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by ND » Sun Jan 03, 2021 10:07 am

Contact Marc Pavlopoulos marc@syndesus.com
Syndesus is an Employer of Record (also known as a PEO – Professional Employer Service) in Canada who legally employs Canadians in Canada to work for US companies.

Syndesus collects and remits all Canadian employer and employee taxes to the CRA. You would get an offer letter from Syndesus which exactly mirrors what you have in the US. Which means you get a T4, and that you are eligible for provincial healthcare (because you are now a Canadian taxpayer). The US employer pays the monthly fee for its service. There is no cost to the Canadian worker.

mayple
Posts:2
Joined:Sun Jan 03, 2021 9:06 pm

Re: Help needed urgently!!!! U.S. citizen working remotely from Canada for a U.S. firm

Post by mayple » Sun Jan 03, 2021 9:40 pm

llll wrote:
> I am a U.S. citizen and a Canadian permanent resident. I have a job offer
> from an U.S. firm which will be paying me as a regular employee via W-2
> while I work remotely from Canada. My understanding is that they will
> withhold my U.S. taxes.
>
> 1. I really want to take this job, and don't want to spook the employer by
> asking to be employed as a contractor etc. What is the best way to go about
> filing my U.S. and Canada taxes in this situation?
> 2. Can I just file CRA tax return later and claim FTE?
> 3. I would prefer to let my employer do what they want and for me to
> "fix" everything tax-wise by filing whatever I need to with IRS
> and CRA. What forms would I need to file with IRS and CRA and in which
> order?
> 4. Any advice is welcome
> Thanks!


were you able to figure out the answer, and private message ND ? I've made a post with some overlapping questions/clarifications, so appreciate some clarity on your issues as to where they stand.

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