Canadian in Canada with corporation working for US company

gsk99 · Post by **gsk99** » Tue Aug 28, 2012 5:08 pm

I've read many similar posts but I'm still a little confused so apologies in advance if this repeats any previous posts.

I am a Canadian living in Canada and have a Canada corporation. A company in the US would like me to work for them and allow me to work from home in Canada most of the time. I may spend 4 days a month in the US visiting their offices. I will be working probably full-time for them and the contract could be long term, potentially years.

They will be paying a US company that will be paying my corporation, which will then pay me. My occupation (geologist) does qualify me for a TN if needed.

What I'm trying to understand is if or what is needed for me to go to the US for visits of 4-5 days each month and what paperwork is needed in the US to keep the IRS happy? For Canada certainly I need to file my taxes as usual and my corporation will issue me a T4 for the salary that my corporation pays me.

gsk99 · Post by **gsk99** » Tue Aug 28, 2012 6:16 pm

Now here's an interesting thought.... I think the 1 week a month in the US could create complications - either with tax, immigration, or both. What if I worded my contract with the US company so that they require me to visit their head office once a month for meetings (not to exceed 4 days) with all the paid work being done from Canada? From everything I've been able to understand so far, the IRS would be happy with just a W8BEN, CRA would be happy that I'm paying my Canadian taxes, and US immigration would be happy that I'm not doing paid work in the US. A B-1 would be fine when crossing the border. Hmmm.....

nelsona · Post by **nelsona** » Tue Aug 28, 2012 9:37 pm

To work in US in this situation you would need a TN.
But by the method you are working out the payments, you would not be taxable in US.

patrick01 · Post by **patrick01** » Wed Oct 10, 2012 2:27 am

[quote="nelsona"]To work in US in this situation you would need a TN.
But by the method you are working out the payments, you would not be taxable in US.[/quote]

They will be paying a US company that will be paying my corporation

[url=http://www.pandoracharmssalecanada.org/] :roll: [/url]

patrick01 · Post by **patrick01** » Wed Oct 10, 2012 2:28 am

[quote="nelsona"]To work in US in this situation you would need a TN.
But by the method you are working out the payments, you would not be taxable in US.[/quote]

They will be paying a US company that will be paying my corporation

<a>:roll: </a>

JGCA · Post by **JGCA** » Thu Oct 11, 2012 9:20 am

Because you will be spending less than 183 days in the US over any 365 day period you by treaty will not be taxable in the US, BUT you still must file a treaty based 1020F to disclose this and must file a T1 in Canada.