Tax Help urgently needed . US + Canada

B

birdy

Registered Users (C)
Hi All,

If anyone who immigrated from US to Canada could help me with some Tax filing issues then I will truly appriciate it.
Here are my brief details:
1) Worked in US until Oct 1, 2000.
2) Immigrated to Canada on Oct 2, 2000.

I got relocated by my company so my payroll was switched from US to Canada on Oct 2nd.

I have to file tax returns for both Canada and US this year, but the different forms and publications (particularly US) are driving me nuts.

Did anyone here go through a similar situation when they immigrated ?
Any help will be highly appriciated.

Thanks
 
No Title

u have 2 file tax return (US-1040 or 1040EZ if no income apart from salary n interest from Jan 1-Oct 1) and T1 for Canadian for period Oct 2-Dec 31 in Canada. Since u will be Canadian resident at the year end, u will have to report US income under foreign income. U will be also eligible for tax paid/deducted in US. There is no double taxation. But the last dates are over for both. However, I believe since tax must have been deducted at sourse. You are ok. Butr must file returns. Send me mail, if u need help for above returns.
 
No Title

No, since you were not a resident of Canada prior to October, you donnot have to pay taxes to Canada for your US income
 
No Title

Thank you both for replying. For the benefit of anyone who might be reading this thread, here is what I had to do:

1) File a 1040 for US Federal Taxes. I had to include my Canadian income in it (since I was considered a resident of US for entire year 2000 based on substantial presence test).
2) I was able to take credit on my US Federal Tax return for the tax paid in Canada. The credit was not 1:1. I had to figure out the percentage using Form 1116.
3) I had to file T1 Canadian return for income between Oct 2000 - Dec 2000.
4) I had to file 570-NR for California taxes for income upto Oct 2000.

Since my payroll was switched from US to Canada on the date I moved (a mere coincidence), I did not need to include any US income into Canadian return (except interest+dividends earned after Oct 2000).

I had my tax returns verified by an accountant practicing both US and Canadian taxes. (Had to pay $135 CDN, but it was worth the peace of mind).

So far I have not heard from either the IRS or CCRA about my returns. The IRS has cashed my check and CCRA is yet to send me the refund.
 
You must log in or register to reply here.
Top