Worked in the US for less than 6 months

This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

Moderator: Mark T Serbinski CA CPA

Post Reply
vik2000
Posts: 2
Joined: Mon Feb 26, 2018 11:38 pm

Worked in the US for less than 6 months

Post by vik2000 »

I'd appreciate any guidance on my 2017 tax filings. Below is my current situation.

I'm a Canadian citizen and relocated to the US in July 2017. I had worked for just under 6 months and came back in December 2017. I'm not too certain at this time how complex my tax filing this year will be and wondering if it's something that I can do myself. We are a family of four (wife and two kids), if this matters.

I currently have the following forms for my US tax filing: W2 and Relocation Expense Summary report.

1. Do I need to file 1040NR even though I stayed for under 6 months?
2. For relocation expenses, I need to file 3903, but how do I go about filing this?

What's the best way to approach this year's tax filing? I'm not sure if a software like TurboTax (Canadian version) can handle all of this, or should I get TurboTax (US version), file my US taxes and then use the Canadian version to file my Canadian ones?

How do I make sure that the tax treaty credit is maximized? Do I need to file the US ones first and get a return to see how much taxes I have been deducted before filing for the Canadian one?

Really appreciate your help in advance.
nelsona
Posts: 18698
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

1. You file a 1040NR BECAUDE you were in US for less than 6 months. Otherwisw you would have had to file a part-year 1040. You still have to report all income to Canada, since you never really became non-resident. Whatever tax you determine on your 1040NR and your state taxes, and SS and Medciare will be credited on your Cdn return.

2. Moving expenses are covered in your tax software and IRS guides.
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
vik2000
Posts: 2
Joined: Mon Feb 26, 2018 11:38 pm

Post by vik2000 »

So to make sure I understand correctly, I will need to file my 1040NR first together with the relocation form.

Once I get my tax return for my US tax filing, I will then file taxes in Canada?
nelsona
Posts: 18698
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

You do not have to wait to file 1040NR before filing with CRA, but you of course need to determine the US taxes first. You will need to attach a copy of your 1040NR to your Cdn return.
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
Post Reply