Working as a contractor for a US company from Canada

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
latenightlaundry
Posts: 1
Joined: Sat Jan 23, 2021 8:36 pm

Working as a contractor for a US company from Canada

Post by latenightlaundry »

Hi, I am looking to work as an independent contractor for a company in the United States. I will be working from Ontario, and have no US working permissions. They will be paying me in USD.

Do I need to register as a sole proprietorship, or can I simply just bill them under my name?

If my understanding is correct, I provide the employer/client with a W8-BEN, which means they don't have to withhold at source, and I just report on my personal income taxes?

Finally, I have both a USD denominated account in Canada, and a US bank account in the US. Does it matter which one they pay into? Can I have them pay into the US account and then transfer into my Canadian account without incurring US tax obligations?
Post Reply