Please share your experiences in maintaining U.S. and Canadian status

[Almostsummer]

Hello, for those of you who are
1. Canadian PRs
2. on H-1B status
3. have employer sponsored green card applications in progress
4. might apply for Canadian citizenship

Could you please share what you're doing so that you could meet the requirements for all 4?

 

[Rawhide]

Yes, I am one of those who fit on all 4 points above. I travel once in a month to maintain my H1B status in US,, live permanently in Canada and work remotely for my US employer.

 

[backlogged_engineer]

Hi, I am on the same boat. Is visiting once a month enough ?
How are you maintaining the residency tax test in the US which is 181 days and above ?
Also did you exchange you US license and such for a Canadian license already ?

 

[Rawhide]

Hi, I am on the same boat. Is visiting once a month enough ? - I have been doing this for 4 years now so I am assuming its fine, I have got H1B extensions in meanwhile.
How are you maintaining the residency tax test in the US which is 181 days and above ? - I don't file resident tax, I file as NR
Also did you exchange you US license and such for a Canadian license already ? - Did that 4 years ago, recently I got US State DL, I am keeping both for now

 

[backlogged_engineer]

Thanks for your response. Just so I am clear, Is this how it works ?
You get your salary through US bank account they charge local state, federal tax, SSN etc. At the end of the year you file your tax return as NR and get taxes reimbursed. Then file a separate tax for Canada to pay local and provincial taxes ?

 

[Rawhide]

Thanks for your response. Just so I am clear, Is this how it works ?
You get your salary through US bank account they charge local state, federal tax, SSN etc. At the end of the year you file your tax return as NR and get taxes reimbursed. Then file a separate tax for Canada to pay local and provincial taxes ?

almost correct, except the fact that NR taxes are high and usually doesn’t leave much rooom for refund. You can claim those taxes in Canadian taxes as foreign income tax

 

[backlogged_engineer]

I see. Also, have you been questioned on where you live in the US and residency status during entry to US ?
Do you drive through the border or take flights during your visits ?

 

[Rawhide]

I see. Also, have you been questioned on where you live in the US and residency status during entry to US ? - Never, I just tell them I am coming for work and work location upon being asked and will stay for X amount of days. Luckily for me work location is very close to US border and a lot of people cross the border everyday on both sides for work so its not unusual

Do you drive through the border or take flights during your visits ? - Always Drive

 

[backlogged_engineer]

Got it. Are your employers supportive of allowing you to work in the US while residing in Canada?
I am staring at a 40% paycut for a move into the canadian org for the same role and position, unfortunately.
Will need to work something out. Thank you for your responses so far.
Also, do you hire a cross border accountant to handle all your tax returns in both the countries ?

 

[Rawhide]

Got it. Are your employers supportive of allowing you to work in the US while residing in Canada? - Boss is very supportive - HR has no clue. Luckily I work in an industry where skill set is a huge issue even before COVID.
I am staring at a 40% paycut for a move into the canadian org for the same role and position, unfortunately. - This is exactly I avoided, still have to pay taxes though.
Will need to work something out. Thank you for your responses so far.
Also, do you hire a cross border accountant to handle all your tax returns in both the countries ? - Yes, I work with a cross-border accountant. For 1000 CAD he takes all my worries away for fillings and returns. It may sound steep but very well worth it,

 

[backlogged_engineer]

Do you know if this is possible for someone who doesn't have a job in a us border town, but somewhere deeper in the US but planning to live in Canada ?

 

[Almostsummer]

Yes, I am one of those who fit on all 4 points above. I travel once in a month to maintain my H1B status in US,, live permanently in Canada and work remotely for my US employer.

hello, thanks for sharing! How long do you stay in the US each month? Also, do you need to maintain a residential address in the US and use it as your work location for H1B?

 

[Rawhide]

hello, thanks for sharing! How long do you stay in the US each month? Also, do you need to maintain a residential address in the US and use it as your work location for H1B?

Sometimes I return on same day, sometimes few days. You need an address for payroll that you will provide to your company.

 

[Rawhide]

Do you know if this is possible for someone who doesn't have a job in a us border town, but somewhere deeper in the US but planning to live in Canada ?

I don't see why not, but crossing border will be a challenge to explain

 

[wink]

Do you know if this is possible for someone who doesn't have a job in a us border town, but somewhere deeper in the US but planning to live in Canada ?

Would 500 miles count? if so, I was doing it close to five years.