Help understanding how to make a US contract work? 1099

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lvtscds
Posts: 10
Joined: Wed Jun 15, 2011 1:01 pm

Help understanding how to make a US contract work? 1099

Post by lvtscds »

Hi,

I am a dual US-CDN citizen residing in Ontario. I recently left a full time role and starting to do some part time consulting. I've been offered a contract by a US company that will require some onsite work at a US location as well as remote work from Ontario. My plan was to create a corporate entity in Canada for my consulting business, however I haven't done that yet. There is urgency that will not give me time to put this in place. Questions:

Can I sign with them directly on their contract as an individual? I understand I would need to report all income to the CRA and of course get the 1099 for the IRS.

What other pitfalls would there be to this arrangement?

Many thanks for the help!
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