Each year I help over 500 clients file their Canadian and US tax returns as well as plan for both their Canadian and US investment accounts. I also regularly help new US clients plan for their move to Canada.
Thanks for a well-written and timely article on US-Canada cross border
tax issues. I am one of the many working professionals who is about to
face the complications as described in your article
A bit on my background:
I am a Canadian permanent resident living in (Canadian Province) for the past 6
years, last of the 4 I have spent working. I am a (professional) by
profession. I will be moving to US and taking up a job in (US state)
starting November this year. I am currently employed by a Canadian
company in XXXXX and will be leaving that job end of October.
– I do not own a property in Vancouver since I have been renting all this while
– I do have RRSPs, savings account and other bank accounts
– I do have BC medical insurance and a BC drivers license
Now its amply clear to me that by terminating my canadian residency
(form NR73, closing bank accounts, terminating health insurance, etc),
I will not have to pay taxes in Canada on my next years income. But
what complicates my situation is the fact that I want to intentionally
maintain my residential ties with Canada, since I will be applying for
my citizenship shortly and I want to keep a good residential standing
vis-a-vis my citizenship application.
Considering this I have the following questions,
1. How can I deal with the taxation scenario for next year, all of
which will be earned in the US.
2. How do I deal with this years tax situation since I am making a
move mid-year and I will have US paychecks for the last 2 months of
3. Moving forward how do I position myself to simply my tax situation.
You response to the above will be highly appreciated. Also please let
me know if there is a good time to call you or your firm this week at
the number on your website.
I called this individual to help answer his questions. If you have a similar question don’t hesitate to call me.
Phil Hogan, CA