US citizen working/physically in Canada and US contractor

[owlterm]

Hi there,

I plan to enter Canada this summer as a temporary worker with my pre-approved open work visa. During this time, I would like to obtain a job in Canada.

Along with that, I am considering contract work from US based companies while I am temporarily residing in Canada.

My understanding is, since I will be there for more than 183 days, I will be considered a resident of Canada for tax purposes. Therefore, I must file taxes, on both sides, for Canadian derived income and my US derived income. Then I will be eligible for tax credit on the US side after filing.

Does this sound correct? Anything I am missing or should be concerned about?

 

[canuck78]

How did you get a temporary worker status? From what I can see you have been living in your gf dorm this year to get common law status and working remotely for a US company that must do no business in Canada. I am assuming the college or university doesn't know because based on my experience as an RA you would have been asked to leave after it became clear you were living there full-time.

 

[owlterm]

How did you get a temporary worker status? From what I can see you have been living in your gf dorm this year to get common law status and working remotely for a US company that must do no business in Canada. I am assuming the college or university doesn't know because based on my experience as an RA you would have been asked to leave after it became clear you were living there full-time.

Hi canuck78,

The visa is from IEC. We decided not to pursue the common law approach on my other thread. I am back in the US for the time being. Also, this is unique student housing but I am officially a designated guest to the single suite when I visit there.

 

[canuck78]

This could get a bit complicated because sounds like you lived and worked in the US for part of the year and then will come to Canada soon and work and live here. Plus you also have freelancing on top of that. I would recommend and accountant who deals with US /Canada taxation. Not sure how many days this year you will be working in Canada.

 

[owlterm]

This could get a bit complicated because sounds like you lived and worked in the US for part of the year and then will come to Canada soon and work and live here. Plus you also have freelancing on top of that. I would recommend and accountant who deals with US /Canada taxation. Not sure how many days this year you will be working in Canada.

It does sound like it may get complicated. I am going to try and stay out of any freelancing from the US while I am in Canada I suppose. Make it cleaner to deal with.

Thanks for the feedback.

 

[canuck78]

Depending on how many days you spent in each country will make you file first in that country and then what is left over goes to the next based on the treaty rules.