Canadian Income on NEC Schedule

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Lola
Posts: 3
Joined: Thu Oct 21, 2010 2:24 pm

Canadian Income on NEC Schedule

Post by Lola »

I am on a J-1 trainee visa and my spouse is on a J-2. We lived in Canada for 6 months last year and are now filing taxes in the US and Canada. Do we have to put our Canadian income on the NEC Schedule? I know that I have to put my US income on my Canadian return.

Also, my spouse only made $360 in the US last year. I read in the 1040NR instructions that I can't claim him as an exemption because he had income in the US for 2010. However, online I read that because he made less then the exemption ($3650) I could claim him as an exemption. Is this true?

Thanks!
nelsona
Posts: 18680
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

For the spousal exemption, the spouse must have NO US income. the "under $3650" criteria applies to other relatives being climed as dependents, not spouses.
Now, remember that this is US-soured income, which does not include bank interest, or capital gains from anything other than US real estate, so unless your spouse made US dividends or he owns property in US, it is unlikely that their income is considered US-sourced.

NEC should only contain US-sourced income, just like all of 1040NR.
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
Lola
Posts: 3
Joined: Thu Oct 21, 2010 2:24 pm

Post by Lola »

Thanks so much for all your help!!!
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