H4 (EAD Holder) can daily commute from Windsor to Detroit?

[ammenla]

1. I hope that you have enough time to move to Canada to maintain residency (from the landing date) apart from having valid PR card.
2. No legal implications as many of the forum members moved from US and commuting.
3. Your new employer needs to do the h1 transfer as you do it for any other city inside US, nothing different for Detroit as Canada commute doesnt have to do anything with H1 transfer.
4. H1 is not under NAFTA and to qualify for NAFTA programs like TN then you would need to a citizen of Canada/Mexico.

Thanks Hari, my PR is valid till 2021 May, I got it in 2016 but I was working in US till then and would like to move to Canada so that I can maintain my residency. I am planning to move to Detroit so that I can commute daily. Is this a sensible move? Not sure how the weather will be and how the housing cost in Windsor?

 

[harirajmohan]

1. my PR is valid till 2021 May, I got it in 2016 but I was working in US till then and would like to move to Canada so that I can maintain my residency. 2. I am planning to move to Detroit so that I can commute daily.
3. Is this a sensible move?
4. Not sure how the weather will be
5. how the housing cost in Windsor?

1. Ok good. I was just checking whether you have enough time gap.
2. Should be easily possible with Detroit job(which is the key to solve residency issues without changing job to Canada).
3. Everyone has their own preferences for getting the residency completed. Check if any of your major problem solves for you with the residency.
As i dont have any other choice with the hopeless priority date in US, i am relying just on this PR for any longterm benefit.
4. Not seeing major issue as its hardly 20-30 medium/heavy snow days in a year(apart from some mild/slight snow days). 1000s of people cross from this border to Detroit every day hence it should not be problem on weather.
5. Cost is less than Detroit in most cases(if you take the apartment little inside from the border). Close to border it will be same cost as Detroit. Rest of the places it will be less.

All you need is Detroit job. First get that and rest is manageable.

 

[rakakatoofaan]

My apologies and i did not meant to be rude, you are assuming too much. I will keep the group posted if i am denied entry.

No worries. I hope and wish you never get denied and your daily commute is better than the previous one and your immigration plan works as you desire.

 

[Dr kbknaidu]

any update on this further ? if a person denied entry means its ban on him for few years ?? anybody got denied entry on H4 and got any other usa visa ?

 

[shirleyyuan314]

Here in Detroit, officers have told me, they will not allow my H4 - EAD spouse to enter states and work. She has both H4 and B1 stamped on her passport. She can still come in and meet her friends or go to a restaurant or shopping in the US.

Hi, did your spouse get any question when she was applying for B1/B2? Did the visa officeer ask anything specific? I'm in the same boat. So just want to make sure I can get a B1/B2

 

[luckydata]

I am on H1B visa and I will be commuting daily to Detroit from Windsor. My wife has approved H4 EAD and working remotely for a company in midwest US, can she continue working for that company remotely from Canada? I believe it should be fine as long as H4 visa and EAD is valid but I would like to know if someone has done it and researched into this situation.

 

[lampbreaker]

I am on H1B visa and I will be commuting daily to Detroit from Windsor. My wife has approved H4 EAD and working remotely for a company in midwest US, can she continue working for that company remotely from Canada? I believe it should be fine as long as H4 visa and EAD is valid but I would like to know if someone has done it and researched into this situation.

She can certainly work in Canada assuming she is a PR. The H4 Visa and EAD are immaterial. However, there are tax issues. She should inform her employer and try to make sure that Canadian taxes are withheld.

 

[harirajmohan]

I am on H1B visa and I will be commuting daily to Detroit from Windsor. My wife has approved H4 EAD and working remotely for a company in midwest US, can she continue working for that company remotely from Canada? I believe it should be fine as long as H4 visa and EAD is valid but I would like to know if someone has done it and researched into this situation.

She can certainly work in Canada assuming she is a PR. The H4 Visa and EAD are immaterial. However, there are tax issues. She should inform her employer and try to make sure that Canadian taxes are withheld.

US employer cant withheld Canadian taxes while payment is being made in USD(/ employment is of US based). She can just continue the work and file the taxes in US first and then file taxes in Canada for the US income. No change is required at US employer's end. No need to bother the employer and confuse them to avoid issues in working without interruption.

 

[lampbreaker]

US employer cant withheld Canadian taxes while payment is being made in USD(/ employment is of US based). She can just continue the work and file the taxes in US first and then file taxes in Canada for the US income. No change is required at US employer's end. No need to bother the employer and confuse them to avoid issues in working without interruption.

Doesn't Canada need the employer to pay employer's portion of taxes? Or do they take it from the employee's tax return? In that case there would be double taxation.

Also, many employers have policies regarding working from Foreign countries, so at a minimum the employer should be informed.

 

[harirajmohan]

1. Doesn't Canada need the employer to pay employer's portion of taxes? Or do they take it from the employee's tax return? In that case there would be double taxation.

2. Also, many employers have policies regarding working from Foreign countries, so at a minimum the employer should be informed.

1. As far as i know, the employers are obligated to deduct the taxes based on their location of employment for the individual's pay.
The tax treaty is of headache of the individual for the income, not employers.
2. Some companies do and some dont as it doesnt affect employers as its just the policy, not obligation for them with any IRS related. So may be their company is ok. I have seen on some managers allow internally too as they manage it at their level to avoid issues. Yes ultimately its up to the OP whether to inform or not.

 

[canprofus]

Doesn't Canada need the employer to pay employer's portion of taxes? Or do they take it from the employee's tax return? In that case there would be double taxation.

Also, many employers have policies regarding working from Foreign countries, so at a minimum the employer should be informed.

I work as FTE and I went through the employee tax policy document of my employer and in that they have clearly mentioned that taxes go by the place of employment. There is no mention of residence anywhere. From that what I understood is as long as one commutes to their workplace at some frequency, there is not going to be a HR or tax compliance issue.

Regarding employer tax obligations.. in addition to above point, I learnt that a US employer has no obligation to deduct payroll taxes outside US. They are obligated only to IRS and not to CRA. It's employee responsibility to take care of taxes for the place where they live.

Also, CRA does recognize people who live in Canada and commute to their work to US as 'factual residents'.

https://www.canada.ca/en/revenue-agency/services/tax/international-non-residents/individuals-leaving-entering-canada-non-residents/factual-residents-temporarily-outside-canada.html



So per CRA this is absolutely okay to do as long as someone 'commutes' to their workplace. I am not sure how working fully on a remote basis for US employer without traveling to employer workplace would pan out, but if you consider the fact that a US employer doesn't have any obligation to Canadian revenue department, it should be okay to do that in that perspective too.

There are many companies like general motors, ford , Amazon etc based off of Detroit allow people to do this.. if it was an issue, they wouldn't be allowing them right.?

 

[lampbreaker]

I work as FTE and I went through the employee tax policy document of my employer and in that they have clearly mentioned that taxes go by the place of employment. There is no mention of residence anywhere. From that what I understood is as long as one commutes to their workplace at some frequency, there is not going to be a HR or tax compliance issue.

Regarding employer tax obligations.. in addition to above point, I learnt that a US employer has no obligation to deduct payroll taxes outside US. They are obligated only to IRS and not to CRA. It's employee responsibility to take care of taxes for the place where they live.

Also, CRA does recognize people who live in Canada and commute to their work to US as 'factual residents'.

https://www.canada.ca/en/revenue-agency/services/tax/international-non-residents/individuals-leaving-entering-canada-non-residents/factual-residents-temporarily-outside-canada.html



So per CRA this is absolutely okay to do as long as someone 'commutes' to their workplace. I am not sure how working fully on a remote basis for US employer without traveling to employer workplace would pan out, but if you consider the fact that a US employer doesn't have any obligation to Canadian revenue department, it should be okay to do that in that perspective too.

There are many companies like general motors, ford , Amazon etc based off of Detroit allow people to do this.. if it was an issue, they wouldn't be allowing them right.?

Yes, if you are actually commuting to the US to work. In this one, we were discussing working remotely for a US company from Canada.

 

[canprofus]

Yes, if you are actually commuting to the US to work. In this one, we were discussing working remotely for a US company from Canada.

Yes, it is still okay.. like I said earlier US employers have no obligation to CRA. They have obligation only to IRS. The only thing that the US employer could do if they know that the employee is working fully from Canada is that they can completely stop deducting taxes and make employee life easier while filing taxes.
Lot of Detroit commuters have been working fully remote this year due to pandemic. In wake of that General Motors recently sent a communication to their employees that since they are working 100% from Canada, they have an option to completely forego US tax deductions. That pretty much answers fully remote situation

 

[lampbreaker]

Yes, it is still okay.. like I said earlier US employers have no obligation to CRA. They have obligation only to IRS. The only thing that the US employer could do if they know that the employee is working fully from Canada is that they can completely stop deducting taxes and make employee life easier while filing taxes.
Lot of Detroit commuters have been working fully remote this year due to pandemic. In wake of that General Motors recently sent a communication to their employees that since they are working 100% from Canada, they have an option to completely forego US tax deductions. That pretty much answers fully remote situation

This needs to be discussed with the employer and it needs to come from them is my point. You can't just unilaterally decide to work from Canada.

 

[harirajmohan]

In wake of that General Motors recently sent a communication to their employees that since they are working 100% from Canada, they have an option to completely forego US tax deductions.

So GM can pay full salary without deducting tax? I am wondering what the communication was. Do they still pay in USD?