Canadian Tax Return for husband while here on Visitor Record

[SocialMe]

Tax return deadline is tomorrow... and I'm ready to pull my hair out!!!

My husband and I married in 2011 (Feb 14, 2011). He has lived here in Ontario on a Visitor Record for ALL of 2011. He, however, works in the U.S. and crosses the border daily. The CRA gave him an ITN... I know he needs to file a return... but what return? I assume he's a "Deemed Resident" but according to the CRA:

You are a deemed resident for tax purposes for the entire tax year if you:
stay in Canada for 183 days or more in that tax year;
do not have significant residential ties with Canada; and
are not considered a resident of another country under the terms of a tax treaty that Canada has with another country.

What I don't understand about this definition is the "do not have significant residential ties with Canada"... because my husband does (he lives here and I'm his spouse).

 

[uskyoot]

A US citzen must file with the IRS every year even if they are a resident of another country. There is an additional form to file to advise them that you are paying taxes in Canada. The US tax return is due on April 15 however I believe that if you are filing elsewhere the due date is later. It might be a good idea to contact a tax expert

 

[SocialMe]

The issue isn't the US Tax return... it's the Canadian one. He filed his US return as usual... but now we're trying to do the Canadian one by the deadline and it's very confusing and I don't even know if I'm doing it properly.

 

[uskyoot]

I would check with a tax expert. If he is considered a resident of Canada then he woulod pay tax here and not in the US. You dont want to end up paying double taxes.

 

[CharlieD10]

He would not be "resident for tax purposes" (because he's on a visitor permit, not a student or work permit) in Canada until he is a PR, so far as I understand tax law. Furthermore, his income was earned in the US, not Canada, so it should not be taxable in Canada or at the very least he should receive a credit for the tax paid in the US against any assessed Canadian income because he has been residing primarily in Canada. I suggest you ask an accountant, this is a bit of a muddy to wade around in without proper guidance.

 

[PBassi]

Hi SocialMe,

Did you end up having to file tax? I am now in the EXACT situation you were in. My wife is US citizen working in USA and living in Canada on a visitor record. Does she need to file tax when she does not have a PR? Any help would be greatly appreciated. Thanks!

 

[Rob_TO]

Hi SocialMe,

Did you end up having to file tax? I am now in the EXACT situation you were in. My wife is US citizen working in USA and living in Canada on a visitor record. Does she need to file tax when she does not have a PR? Any help would be greatly appreciated. Thanks!

She doesn't need to file taxes in Canada if she isn't working here.

However YOU need to file taxes as married, and indicate your wife's US income on your own tax return so CRA can assess your "family" income and see what credits you can claim.

 

[blueangel371115]

My hubby had a hiccup with me. Since they couldn't vouch we were married even though we provided our US marriage certificate. So he couldn't get credit for me even though we were married because I
a. Didn't have a SIN ( they for some reason had no idea what an ITN was so they didn't except that either nor did they request it).
b. Didn't have an etat civil for Quebec ( which I wouldn't have as we were not married there so we weren't issued one we told the accountant this)
Someone somewhere dropped the ball so my hubby had to pay in this year. Do we have any recourse as I am only here on a VR?

 

[lleahdoll]

How confusing is all this eh?

Last year my husband filed but they didn't file one for me and he got fined for it and they said we need a Temporary NIP.
This year H&R Block is having me sign something. So idk really why I have to. I guess I'm a deemed resident but they are saying it's bc I'm his wife... who knows..