Search results

Thanks - I'm asking to validate because its clear from many other posts that folks are getting re-assessments to the tune of thousands of dollars (20-30k) and it seems pretty excessive. Also, does this software break down federal vs provincial owed? I could only see one section on the left pane...

Hi - are you able to provide some insights on the tax software you've used for Canadian filings. Is there one that you recommend more than the other? I tried testing out simpletax/wealthsimple, but not sure how to tell whether i've included all items correctly. How did you become certain of your...

Thanks. That is a real miss by a qualified CPA. I hope you're not going to have to pay penalty because it doesn't seem to be your fault. But regardless, thousands in additional taxes seems pretty excessive. I would have imagined that the difference would be minimal (no more than 10k for most...

So to clarify, for the past years that you filed with CRA, you never paid any taxes to CRA? So what was the purpose of your tax filing to CRA then? If you file, then the expectation is to calculate correct taxes. Depending on your income and other circumstances, more than likely you would have...

Unfortunately cannot comment on the amount or the reason why they're expecting you to pay up without knowing more details of your tax situation, so your accountant would be the best person to guide. Technically speaking, you should only be liable for "difference" in taxes. The difference in...

Immigration and taxes are two different departments and legal circumstances. Can you provide a legal basis/proof of 180 day physical presence requirement for H1b within the US? To my knowledge, there is NO such requirement. You are, however, encouraged to be in the US frequently while on H1b...

What do you mean they've sent you a notice of reassessment? If they've already reassessed your tax liability then they must have either asked you to pay up more/difference, or issued a refund if you overpaid. Alternatively, they may be seeking a confirmation of your payment of US taxes if you...

Correct. I don't plan to start any investments in Canada since it is going to overly complicate managing them including taxation - an unnecessary overhead if one is employed in the US, and plans to return in the short term 2-5 years. This is just my opinion and approach, not a financial advice

Tax accountants did not have any specific suggestion on whether an investment account can stay open or not. From their perspective, its a matter of reporting all investment income (dividends, capital gains etc.) appropriately. Keeping the account open is a US issue, and for the most part all of...

Thanks, makes sense. In you case, it appears you'd be filing US taxes as non-resident, and then taking those taxes paid as foreign credit to calculate your tax liability to CRA.

Yes, in your case it appears you'd be a Canadian tax resident. Curious as to why you filed 2020 Canadian taxes since you most likely did not meet the threshold for filing Canadian taxes?

Did you file any Canadian taxes for 2020 (i know the time period was only Oct - Dec 2020, but just checking if you or not)? Also, some of the other considerations are your ties e.g. do you maintain financial ties to Canada (if so, what kind e.g. do you have investments, retirement accounts...

All answers are YES for me. Whether you are tax resident or tax non-resident for US depends on several factors including your ties to either country. When (which year) did you physically start living in Canada?

I've spoken with a couple of tax accountants so far, but have not yet decided on which one to hire. Everyone quoted a different price ranging from 500 CAD - 3000 CAD. The price may vary depending on the complexity of your taxes, but its an estimate. Some accountants did not feel confident about...

Robinhood account would be considered a trading account. But if you've never used it and have no investments, then you've got nothing to worry about.

Right. I believe stock trading through a US brokerage when you're no longer a US resident has to do with US law. And its not as straightforward e.g. Charles Schwab offers an international account for people who are residents in certain countries where they can freely trade most but not all...

I'm not sure if you'd "definitely" get an audit. But sure it can happen. Audit on taxation will not necessarily delay or impact your citizenship, unless there is an irregularity with your filings that require you to re-submit the taxes. The fact that you're, in all honesty, filing your taxes as...

Yeah, that is what I'm trying to figure out as well. Many folks are in Canada temporarily for whatever reason, and may move back to the US in the near future. In that case, it may be best financial strategy to be able to keep these accounts active/maintain them as-is. Based on my research so...

Any updates on what you ended up doing, if anything? Did you move your brokerage accounts or are you planning to keep them as is?

Right. You "may" be able to keep investing if you have access to the accounts, but whether from a tax perspective it causes more burden or not is the question. For example, if CRA does not provide the same tax benefit to Roth IRA as US, you're increasing your tax liability by selling and/or...