more income reported on T1 and 1040NR

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Ed
Posts: 19
Joined: Fri Oct 02, 2009 9:23 pm

more income reported on T1 and 1040NR

Post by Ed »

Hi Nelsona,

When I moved to the US in 2009 I was given $5000 from my company as a miscellaneous income. I got a sheet of pay indicating all my deductions and net amount was sent to me via cheque. When I got my W2 for 2009 - I never saw this amount - so I honestly told CRA nad IRS that I had received X wages + 5000 as income for 2009 and reported accordingly. However, my payroll is saying to me that 5000 is to be reported for 2010 tax year as it is on March paystubs. But the thing is I got this as income in 2009 but the employers payroll dates start from Oct 2009. Now, since I already reported it for 2009 - how can I ( if I can ) exclude from my 2010 - as it will be on my W2 for 2010. Plus since I reported that as a foreign income for CRA for 2009 - I lost some money there as this was not really (technically) an income for 2009.

How do I fix this?

Thanks.
Ed.
nelsona
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Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

For IRS you file a 1040-X with the corrected amount.

For CRA, I'm wondering why you reported the income at all since you had moved to US. That aside, you would semnd a T1-adj, to correct the wage ammount, the foreign income amount and the foreign tax amount, attaching a copy of your 1040-X (they already have your W-2).

Given that this was your first year reporting in US, I would not have been so quick to ignore wha twas on your W-2 and repiort diferently, instead of checking with payoll first.
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
nelsona
Posts: 18675
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

I see why you reported in canada -- ignore that part.

The rest of the post applies.
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
Ed
Posts: 19
Joined: Fri Oct 02, 2009 9:23 pm

Post by Ed »

I know it was a mess..

But I had to report to CRA as I was technically a resident of Ontario for the entire tax year 2009. I did not have permanent "abode" in the US. Don't I have to report that income from the foreign sources?

1040X meaning since I had files 1040NR - I have to refile that again, right?

I will do all that once my lawyer get the Clearance Certificate to release the proceeds from the sale of my in Toronto - I hope that's fine.

Ed.
nelsona
Posts: 18675
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

1040X is the amendment to any 1040.

you DO NOT refile 1040NR, you submit a 1040X, with only the changed inputs.
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
Ed
Posts: 19
Joined: Fri Oct 02, 2009 9:23 pm

Post by Ed »

About T1-adj - when I file that - do I completely exclude the W2 wages then? Or just the extra income that I reported?
nelsona
Posts: 18675
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

No, just the extra income you reported. You've decided already that you didn't leave canada until 2010, remember.
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
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