Stock Option question USC Can Res Commuter to USA work

This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

Moderator: Mark T Serbinski CA CPA

Post Reply
stewak2
Posts: 111
Joined: Mon Sep 18, 2006 2:47 pm

Stock Option question USC Can Res Commuter to USA work

Post by stewak2 »

I have options I could exercise that would have a value of about $50k, that is difference between option price and current market value.
Dual citizen, Canadian resident, commuting to work in USA for US company ( whose stock is the one in question ).
My initial research seems to show that in both USA and Canada I will be taxed on the 50K as regular employment income, not as captial gains, and I would be able to use the US tax to offset the Canadian tax payable just as I do for all other regular employment income.

The amount would be similar so there is no particular planning or special considerations involved in executing the options.
Is this correct?
Top
nelsona
Posts: 18680
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

Sounds about right.
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
Top
Post Reply

Return to “Canada / United States Tax & Accounting”