Posted on: 18-10-11 14:28:32
I worked in Canada in Jan2011-Aug2011 and now working in USA since Sep2011.
Just wondering how its going to effect my tax responsibility for Canada. And in long as i am paying ssn in usa whether it will count as CPP for canada.
Not sure as I read somewhere USA and Canada share SSN paid in USA as the same way as paying CPP in Canada.
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san_sai
Quote:
Originally posted by san_sai
I worked in Canada in Jan2011-Aug2011 and now working in USA since Sep2011.
Just wondering how its going to effect my tax responsibility for Canada. And in long as i am paying ssn in usa whether it will count as CPP for canada.
Not sure as I read somewhere USA and Canada share SSN paid in USA as the same way as paying CPP in Canada.
To answer your question, I need to know if you plan on keeping ties with Canada (like significant residential ties (house)/ Family ties (spouse + kids) in Canada.
I sold my house, brought my family to USA and no intention to go back Canada. Except bank account and one lockin RRSP I do not have anything. Still not sure what should I do to my status for tax purpose like severing tie with Canada(heard I have to pay exit tax).
For mails I am using a mailbox service to forward mails to my USA address due to some other personal reasons.
I am planning to work in USA till I get TN/H1B and then move to India. I worked 8 years in Canada. And 4 years in USA before immigrating to Canada on PR.
After reading your reply I think my question related to tax filling in Feb 2012. How I am going to declare my USA income.Whether I have to file Income Tax in USA or both in USA and Canada? As I am paying federal and state tax in USA. If you can provide information how the USA and Canada government share SSN and CPP, it will be great.
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san_sai
Ok, this is what you need to know.
1. File the Canadian return with the exit date mentioned on your return. Make sure that you do not have any "cdn source" income after this date.
With this, you will need to declare (and pay taxes on) the income that you earned only while you were in Canada.
No "exit tax", haven't heard of it.
2. Make sure to tell your bank in Canada to withhold the NR tax (which I think is 15%, but verify with your bank) from your interest income (if you have the interest income).
3. Your US tax status will depend on when you entered the US (for how many days you were present on the US soil). If qualified as a NR in US, you declare only the US earned income on your 1040NR. The situation could be different if you qualify as a US resident though.
4. Unless you take money out of RSP, it is not an income and hence you do not need to worry about it. It stays as it is.
5. I do not have any knowledge or first hand experience on how CPP/SS is handled.
Quote:
Originally posted by san_sai
I sold my house, brought my family to USA and no intention to go back Canada. Except bank account and one lockin RRSP I do not have anything. Still not sure what should I do to my status for tax purpose like severing tie with Canada(heard I have to pay exit tax).
For mails I am using a mailbox service to forward mails to my USA address due to some other personal reasons.
I am planning to work in USA till I get TN/H1B and then move to India. I worked 8 years in Canada. And 4 years in USA before immigrating to Canada on PR.
After reading your reply I think my question related to tax filling in Feb 2012. How I am going to declare my USA income.Whether I have to file Income Tax in USA or both in USA and Canada? As I am paying federal and state tax in USA. If you can provide information how the USA and Canada government share SSN and CPP, it will be great.
