Answers Archive

Tax Deductions of Apartment and Vehicle

Hello Joey, You cannot deduct the rent or utilities in respect of your apartment. Vehicle expenses for travelling back home are also non deductible. However, this location (mine) may be considered a remote work site. Therefore, you should ask your employer to pay you tax-free benefits – rent for your temporary apartment near the mine, … Continue reading

Re: Small Business Tax Reduction

Hello Lionel, Congratulations on starting a new business! Our company actually has niche for small businesses and would love to help with your accounting and financial needs. The 2015 budget has changed the small business tax rate by decreasing the rate from 11% to 9%. However, this decrease will happen in yearly stages. The small … Continue reading

Re: Back Taxes

Hello Bryne, Thank you for your question. When you and your husband left Canada, did you indicate the date of departure on your final Canadian tax returns? First, call the CRA to determine how they have classified you and your husband on their system – as residents or non residents of Canada. If they have … Continue reading

Re: Non-Resident of Canada

Hi Dom Thanks for contacting me. Many of my clients or Canadian expats so I can certainly help you. Please let me know why you feel that your tax returns were filed incorrectly. Also, did you have any Canadian source income subsequent to your departure from Canada? Non residents of Canada only have to file … Continue reading

Re: Inheritance into GIC’s?

Um bad advice, I am getting 1.75% interest on my savings account at meridian credit union. Like 75% more then I get at RBC and more then a lot of gics. Secondly NEVER tell people to bank with TD canada trust or BMO, or CIBC are you out of your freaking mind. Learn about how … Continue reading

Re: What to do with Canadian investments while in USA

Hello, you are correct about keeping the TFSAs and ETFs while you are in America. My suggestion for you would be to liquidate all your assets right before you leave Canada. Once you get into the States, invest in items that can be repatriated back into Canada easily (for example cash or bonds). By holding … Continue reading

pdf to cor conversion

Unfortunately, there is not an ‘app’ that you can purchase to covert the file. You can purchase a single user license from either TurboTax, and submit the T2 Return online through their software.

Re: pdf to cor conversion

Ok thanks I guess that’s our option or submitting a paper copy

Re: T4

You should certainly submit a T1 Adjustment Form to include the income from the T4 on your personal tax return. So long as you did not receive a notice from the CRA in regards to the missing T4, you can submit the T1 Adjustment Form through the Voluntary Disclosure Program. Under this program, you will … Continue reading

Re: Selling an old house I bought 4 years ago in the USa

Withholding tax of 10% will be applied to the sales proceeds. To avoid paying the 10% withholding tax, you should submit form 8288-B to the IRS. This form asks the IRS to decrease the withholding tax from 10% of the sales proceeds to the actual tax liability payable on the sale. The actual US tax … Continue reading

Re: Filing 1040NR

If you worked in the US and made more than $10K US, you cannot be exempt from US taxation on that income, regardless of the amount of days you spent in the US. It is only if you were working for a Canadian employer in the US for less than 183 days that you could … Continue reading

Re: Transferring to the USA through my company

Hello Jeremy, there are five things you should do or find out before you leave for the job. I will outline them below 1) Compensation: Find out if your employer has an international assignment compensation and be sure how it may apply to you. Most of these policies will provide various allowances and other benefits … Continue reading

Re: Holding shares in a foreign corporation

Hello Morty, if you own shares of a foreign corporation as a resident alien, you may be required to pay tax on a portion of the corporation’s income even if it has not been distributed to you. You may also have to file special information statements with your annual tax return regarding your investment in … Continue reading

Re: Move IRA to RRSP

Hi Bradley, Chase should forward the appropriate forms to the Canadian financial institution where your RRSP will be held. If they do not, you may have to do this yourself. Remember that US withholding tax will apply, but this can be recovered upon filing a Canadian tax return.

Re: Filing US Tax return, even though I don’t live there anymore

Hello Claudia, yes have to file US tax returns as long as you remain a US citizen. What you need to do is to file the last three years of US returns (2013, 2012, and 2011). Take the overseas earned income exclusion for your salary. You may wind up paying some small amount of taxes … Continue reading

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