TN and Contracting

J

jessica_f

New Member
Hi all I’m currently on a TN visa full-time with an employer. I want to take on a short freelance contracting job with an American consulting firm. I know this is not legal if I’m physically in the US. So I’m thinking of doing the work in Canada and getting paid to my Canadian bank account.

But I’m wondering, can I still go back and forth between Canada/US throughout the duration of my freelance contract if I’m only doing this freelance work when in Canada and not doing it when I’m in the US?

Does the contract start date have to be set to a time when I’m physically in Canada? Or does it not matter as long as I’m only doing the freelance in Canada?

How would taxes work in the US? Would I be given a 1099? Would I need to file it together with my W2 in the US? Would that be an issue?

Thanks so much!!
 
Why would you think it illegal? You can have multiple TNs and you do not need to be an employee on TN.

As long as you and the job qualify TN, just get a TN for each freelance job you want. the client(s) would be the sponsor(s).

Now, if the job doesn't qualify for TN, then you need to go offshore to work.

Since you live in US, you will end up only paying taxes in US, even on the Cdn income, but that can be explained more fully at a tax forum, like forums.serbinski.com
 
@nelsona
Thank you so much for your reply! I totally understand about getting an additional TN for an additional freelance job. For this particular circumstance, it’s a pretty short job where it’s not worth the hassle of the support letter and travel to the border. I will be going back to Canada for a few weeks and so, I’m wondering if it would be an issue to sign the contract under my Canadian address while I’m still in the US, contract start date would be when I’m still in the US but I would only perform the work when I travel back to Canada. Would I run into issues in this case?

In terms of taxes, since I have a US presence, I will probably get a 1099 for taxes. Would that be also be an issue for the IRS since I only have one TN for a different job? Would I need to prove that the work in this 1099 was done in Canada so I’m not violating my current TN?

Thanks so much!!
 
Cdn firms do not issue 1099s, but, as I said, ask tax questions on a tax forum. It is not a problem to have other legal income on TN.

Date of contract means nothing. It is performing work that determines legality.
 
You must log in or register to reply here.
Top