Hi there,
I am very happy that I have found this forum. I hope someone has some thoughts on my situation.
I am a Canadian permanent resident. I have no ties to the US nor did I spend any days in the US the last few years.
I got W2 contract on the table, the work will be performed 100% remotely.
The US company will withhold income tax and social securities.
My questions are:
A) Do I have to file a 1040NR?
B) Is there another document I have to file?
C) Can I offset 100% of the payed taxes on the Canadian side through FTC?
D) is there anything else I should be aware of?
I appreciate any answers!
Thank you!
W2 employee living in Canada: basic questions
Moderator: Mark T Serbinski CA CPA
Re: W2 employee living in Canada: basic questions
They cannot pay you as a W-2, sicne you live and work in canada. They MUST either make you a contractor, or on a Cdn payrioll.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing
Re: W2 employee living in Canada: basic questions
Thank you very much for your comment. That is a very interesting fact.
In one email my employer talks about contractor onboarding and a minute later I have a W2 contract with a hourly rate on the table.
So you are saying that this does not work at all?
Thank you sooo much!!
In one email my employer talks about contractor onboarding and a minute later I have a W2 contract with a hourly rate on the table.
So you are saying that this does not work at all?
Thank you sooo much!!
Re: W2 employee living in Canada: basic questions
Hi again,
I did a lot of research in this forum and I saw people who worked for an US based company from Canada (100% remote).
I am very confused now. What is the exact reason why this is not working? I found as reason: avoiding to pay Canadian payroll taxes
Appreciate your feedback
I did a lot of research in this forum and I saw people who worked for an US based company from Canada (100% remote).
I am very confused now. What is the exact reason why this is not working? I found as reason: avoiding to pay Canadian payroll taxes
Appreciate your feedback
Re: W2 employee living in Canada: basic questions
Yes, 1000's of Cdns work for US-based firms. They either work as a contractor, corp-to-corp, or are on a Cdn payroll.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing
Re: W2 employee living in Canada: basic questions
My partner is in this position. She is paid by a payroll company in Canada (Manpower).
Re: W2 employee living in Canada: basic questions
nelsona wrote:
> Yes, 1000's of Cdns work for US-based firms. They either work as a
> contractor, corp-to-corp, or are on a Cdn payroll.
If one has to work as contractor, corp-to-corp or Cdn payroll , does he /she requires TN Visa ?
> Yes, 1000's of Cdns work for US-based firms. They either work as a
> contractor, corp-to-corp, or are on a Cdn payroll.
If one has to work as contractor, corp-to-corp or Cdn payroll , does he /she requires TN Visa ?
Re: W2 employee living in Canada: basic questions
No, unless there is occasional travel to the US firm.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing
Re: W2 employee living in Canada: basic questions
look into setting up with an Employer of Record (also known as a PEO – Professional Employer Service) in Canada
Re: W2 employee living in Canada: basic questions
PEO is the way to go, if you do not wish to be a contractor.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing