US Citizen - PR of Canada - Controlled US Company Income
Moderator: Mark T Serbinski CA CPA
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- Posts: 5
- Joined: Sat Oct 09, 2010 5:46 pm
US Citizen - PR of Canada - Controlled US Company Income
My wife & kids are dual citizens (CA/USA) and we are planning to move to Canada. I am USA citizen and will be a permanent resident of Canada. I have a US S-Corporation that I own 100% that generates 60K income in salary with no employees. All the work can be performed from Canada and I will visit clients twice a year (no work performed in USA). Should I convert the S-Corp to an LLC or C-Corp for ease of filings and paperwork? I need a limited liability structure, so that is the only two options. Is the best way to be self employed in Canada, establish a Canadian payroll system (CPP only / EI not needed) and bill my US company for services provided? Is there a problem that I own the company (not arms length)? And is there any benefit for paying part of the income generated by the US company in dividends (pay reasonable salary first-then rest in dividends)?