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Filing tax as resident in both US(H1B holder) and Canada(PR)

legends19

Member
Jun 20, 2021
12
0
I became a PR of Canada recently while I was working on H1B for my US employer, I know many people have a similar situation and report tax in the US as a non-resident and report tax in Canada as residents. But I wonder, even though I will spend more time on the Canadian side, can I file tax as a resident in the US as well?

This might seem a dumb question to many of you here but any insights will be greatly appreciated...

Thank you in advance
 

legends19

Member
Jun 20, 2021
12
0
Another twist to my situation is that - I was a temporary visitor for the first half of the year, and in late June became a PR. I wonder if I can for this year still pay tax as a US resident alien since I still have my home and pay utilities and everything in the US even though my physical presence this year is mostly in Canada? I will start travelling back and forth to the US for the rest of the year and will start from next year filing as a non-resident alien in the US and resident in Canada.
 

canuck78

VIP Member
Jun 18, 2017
55,478
13,477
Another twist to my situation is that - I was a temporary visitor for the first half of the year, and in late June became a PR. I wonder if I can for this year still pay tax as a US resident alien since I still have my home and pay utilities and everything in the US even though my physical presence this year is mostly in Canada? I will start travelling back and forth to the US for the rest of the year and will start from next year filing as a non-resident alien in the US and resident in Canada.
What is your current status in the US?

Did you work while you were a visitor in Canada and does your employer have a Canadian location?
 

legends19

Member
Jun 20, 2021
12
0
What is your current status in the US?

Did you work while you were a visitor in Canada and does your employer have a Canadian location?
My employer is a small firm and doesn't have a Canadian location. In the first six months of this year, I was on a visitor visa to visit my wife here and working remotely.

Since this is my first year of getting PR, I will still travel back and forth and move my belongings and attend some in-person work stuff on the US side and live once in a while in my US address. I think I will use a substantial presence test to justify my tax residency in the US (I had some real estate income but didn't use a manager yet, just realized that if I don't use a manager this year I need to pay 30% on all the rental income which could be a big burden).

Do you see any red light of this idea? I hope they are more flexible about residency since this year a lot of things are still troubled by the pandemic. Thank you!