I just moved back to Ontario, Canada after 7 years of loving in Virginia. I will continue to work the same U.S. company that I worked for while living in VA. Basically, I will be working from home. My question is, what do I need to do in order to comply with Can. Us Tax Treaty? Are there forms to fill out and send to the IRS? Also, my employer is not sure what they need to withhold...or if they should withhold anything and basically pay me cash and I will pay taxes here in Canada. What about FICA and all FUTA and unemployment?
Thank you. I appreciate all the help I can get.
david ingram replies:
This older question will help you:
I'm an American citizen residing in Canada (permanent resident) and working for an American company remotely from home in Canada. I get a W2 at year-end. I assume I have to file both US and Canadian tax returns.
My questions are :
1) Do I file a US tax return and claim a foreign tax credit on my Canadians tax return. Or is it vice versa?
2) Do I still file state/local tax return in the US (I lived in Maryland prior to landing in Canada), even though I now reside in Canada?
3) For the extra tax I end up paying to the 2nd country (in excess to what I pay to the first country), can I claim any type of credit or deductions on that tax in next tax year?
CEN-TA Cross Border Services - Tax, Visas, Immigration