non-resident tax

[gunner91]

Hi,

I got my PR back in 2019 while working in the USA on H1B. I did a soft landing in Vancouver in Aug 2019 and put my aunty's residence as my address on my PR card. On my aunty's advice, I asked their tax guy to file my returns in Canada and have filed from 2019 to 2021 with my aunty's address. In all those years after multiple stupid reassessments, my foreign tax credits were enough and I didn't have to pay anything to CRA. I moved to Toronto, Canada in mid-May 2022 and had worked in the USA till then. After coming here, I started working for Canadian firms. Recently, I learned that if you don't live in Canada and didn't have any connections like house or family, you are considered a non-resident and don't have to submit a return.

So, my question is: do I have to include my US income from Jan to May 2022 while filing Canadian taxes and do I have to include my Canadian income from May to Dec 2022 while filing US taxes? My theory is since I was a non-resident till May 2022, my income before it shouldn't be counted for Canadian taxes. I think I might have to show Canadian income in the USA filing due to the 3-year 183-day rule.

 

[steaky]

Hi,

I got my PR back in 2019 while working in the USA on H1B. I did a soft landing in Vancouver in Aug 2019 and put my aunty's residence as my address on my PR card. On my aunty's advice, I asked their tax guy to file my returns in Canada and have filed from 2019 to 2021 with my aunty's address. In all those years after multiple stupid reassessments, my foreign tax credits were enough and I didn't have to pay anything to CRA. I moved to Toronto, Canada in mid-May 2022 and had worked in the USA till then. After coming here, I started working for Canadian firms. Recently, I learned that if you don't live in Canada and didn't have any connections like house or family, you are considered a non-resident and don't have to submit a return.

So, my question is: do I have to include my US income from Jan to May 2022 while filing Canadian taxes and do I have to include my Canadian income from May to Dec 2022 while filing US taxes? My theory is since I was a non-resident till May 2022, my income before it shouldn't be counted for Canadian taxes. I think I might have to show Canadian income in the USA filing due to the 3-year 183-day rule.

As a US resident, you have to include your Canadian income.

 

[gunner91]

As a US resident, you have to include your Canadian income.

What about Canada tax filing? Do I have to include US income here?

 

[kellyCB]

Yes! You have to, but you won't be double taxed as US-Canada have treaty agreement. There's a line where you can mention the taxes you've already paid to the other country and you get credits for that amount.

 

[gunner91]

Yes! You have to, but you won't be double taxed as US-Canada have treaty agreement. There's a line where you can mention the taxes you've already paid to the other country and you get credits for that amount.

Shouldn't I qualify for non-resident status till May and hence, don't have to list the US income? I hate the scrutiny it warrants. Every year I file in Canada, my assessment shows nothing owed. Then, they send me a reassessment saying I owe 30k plus, and then, after sending them more documentation, it is back to nothing owed. I hate the anxiety and don't want that stress.