TAX residency While on TN?

Cindy_ · Post by **Cindy_** » Sun Feb 09, 2014 6:50 pm

i was in the US in Sept 2012 visiting friends, was offered a job through a friend at a company in January 2013 , accepted it, the company applied for the TN by mail. Worked FEB MAR and April, company laid me off because the company moved out of state. I continued living till january 2014 and then came back to Canada.

I am confused , from the IRS side, they consider me as a resident but i am not a resident. My understanding is i need to file 1040 NR along with 8833? but i also read that for 8833 , your income should be more than $100,000... Mine was $12000 in three months. What should i do?

Thanks in advance!

Cindy_ · Post by **Cindy_** » Sun Feb 09, 2014 6:51 pm

Also if someone can guide me how to fill this 8833 form, IRS don't seem to know much and they are pretty much clueless. I don't even know if i need to fill out this form

nelsona · Post by **nelsona** » Mon Feb 10, 2014 9:02 am

For 2013, you were a US resident. Plain and simple. File a 1040. It is lower taxrate anyways.

Cindy_ · Post by **Cindy_** » Tue Feb 11, 2014 3:12 am

Thank you nelson for replying.

If i file 1040 for 2013 , then i will have to file FBAR as well too. Since i was on a TN status, don't know when i will be back in the US on anothr status, that's why i wanted to keep on 1040NR. if i don't get a job in the US in 2014, i still would have to file FBAR and possibly 1040, despite the fact i might be working in Canada. It's like switching tax home from Canada to usa and back to Canada.

... if i had steady work in the US( more than 6 months), then 1040 would be OK.
I don't want to get into US tax system and be subject to all the requirements that Us citizens and residents do.

8833 is the form you file to protect you from being "resident" even if you stayed more than 183 days in the US? but how do i fill out? I really appreciate your input.

nelsona · Post by **nelsona** » Tue Feb 11, 2014 9:52 am

You really have no choice for 2013. You were NOT resident in Canada. There is no problem switching bcak and forth, but you actually have to move. Had you left US when your status ended, then that would have been a short enough period (sep 12 to apr 13) to treat yourself as CDn resident and US non-resident.

But you didn't.

Making a treaty claim that you were resident in Canada would mean that you can prove that you were resident in Canada and NOT US for 2013. I don't think you can make this claim. all your ties were in US.

It would also mean that you file a Cdn tax return for 2012 and 2013 reporting all world income

julfinic · Post by **julfinic** » Wed Feb 12, 2014 10:53 pm

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