L-1 Visa, continue side business in home country?

C

canada11

New Member
I am currently working in Canada with a company full time, but I also have an online software business (on the side) that is registered in Canada. With my side-business, I receive monthly payments (royalties) from users of my software.

I am planning on going to the U.S. on a L-1 with my full time company. My question is, will I be able to continue my foreign side-business while in the U.S.? The business (and bank account) would remain in Canada and has no employees. Due to the nature of the online business I am physically able to do it from anywhere in the world, but is it legal?

Thanks!
 
Well you are definitively working in the US, even if your business account is offshore. You certainly will have to pay taxes on that income, and they will ask for your tax returns if you try to become a permanent resident.
 
I assumed I would pay taxes in Canada on that income. However, the big issue, is it legal? Am I allowed to even have this side-business in Canada while I am there?
 
No, if you reside in the US you MUST file taxes for the income here. If you have to pay taxes on your world income at home you can subtract those from your taxes in the US.
 
No. You can have a side business on any visa, but you can't WORK for it while in the US. You can own the company though, thats fine, and make money of it. If you try to work for the company, USCIS might find out about it through your tax returns and you might get into trouble at the GC stage. I am sure many people do it anyway though. We have some 10+ million illegals in the country and enforcement seems to be a joke.
 
Is there any way you can think of to get around this? I looked in an E-2 visa but most likely would not be able to afford the investment. Just a thought... would I be able to get an L-1 for my side business (taking a contract from my full time company as a client)? Side business has been around for 7 years, but I am the only "employee". The company would remain in Canada on paper.
 
If the money of that side company stay in Canada and you pay taxes there I don´t think there is anything to do with US. The fact that you are working through the internet but in US soil in my opinion doesn´t has anything to do with US. At the moment this money enters US then you will have problem. The company is there. You the person is in US working o L1 and you are "managing" the Canada business through the internet, I don´t see any problem in that. You can´t work for a company in US that is doing business in US. If your company do business from Canada to US how anyone can proof that you are working in US? It´s more like your Canada company is exporting to US. If that´s too gray, hire someone for the Canada company. Then he would be "working" and you are only managing the foreign business.
 
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Even if the money stays there it´s required to pay taxes in US too? If that´s correct that would be double taxation.. that would be really bad.
 
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