US Citizen working in Canada - Tax question

[aussierose49]

I am a US citizen, who is a permanent resident of Canada. I have been here for 4 years and was not aware that I have to file US Taxes until I saw an ad on TV. I am 62 years old, and work part-time and in a common-law relationship with a Canadian citizen We have filed joint tax returns for our Canadian taxes every year . I am wondering just how much of a tax mess I could be in..any idea? ANd also what is the next step I need to take to correct this issue.

[nelsona]

You need to file all your previous returns.

[aussierose49]

OK, so I need to file previous years - what tax form do I use? Am I entitled to claim any deductions that US filers get that Candians do not - e.g interest on property taxes?

[JGCA]

I doubt that you filed joint returns for your Canadian taxes in the past, you may have filed showing each partners net income but in Canada joint filing is not possible.

As was told to you you need to backfile ASAP your US 1040 tax returns, you will be exempted from any work income since this is available by filing the exemption, you may be able to itemize in the US side and claim certain interest deduction depending on your income and of course any tax you pay to Canada for teh same income you show in the US you will get a foreign tax credit for up to the maximum allowed.

The tax reurns can be filed using software readily available that should take you through the exercise fairly smoothly.