david ingram replies:
You are a non-resident of Canada and as such have to pay tax to each province or territory you land in. The GOOD NEWS! We have access to every Air Canada flight and have an excel program which allows us to calculate the earned income for each province for a multi-jurisdictional tax return as on form T2203. You can find this '87' page form at http://www.cra-arc.gc.ca/E/pbg/tf/t2203/t2203-06e.pdf
. We have over 40 others in your position as clients.
If you are not flying for Air Canada or Air Transat or one of the larger carriers with regular flights, we can still look after the return but it takes more work if you are the only one because we have to start from scratch.
For instance, I have another charter pilot who has flown into Igloolik, Whitehorse, Inuvik, Old Crow, Whittier, Fairbanks, Dawson City, Anchorage, Atlin, Watson Lake and another twenty communities in the Yukon, Northwest Territories, Nunavut, Alaska, BC and Alberta.
'Her' situation requires her to keep track of time in each jurisdiction because the Yukon, NWT, Nunavut, BC and Alberta all get their piece of the action.
However, whatever your situation, We would be pleased to help you with this.
And, that was very gallant of you to let your wife cross the finish line 2/10ths of a second in front of you.
This older question will give you some more input.
My name is xxxxxxx xxxxxxxxxx and I'm looking for a tax accountant who is well versed in Canada/US tax issues. I am a dual citizen currently residing in Washington state. I am an airline pilot and began working for Air Canada based out of Vancouver at the start of 2007. Prior to this I was employed by a US carrier. I will need to file both Canadian and US tax returns, and need guidance and assistance with filing my returns for 2007. Please get back to me at your earliest convenience and let me know if this is something you could help me with.
david ingram replies:
That is what we do.
Over the years i have dealt with over 100 CPA, CAIL, Air Canada and Western Airline pilots doing what you are doing.
We also have dealt with some 200 cabin crew in the same situation although they are now few and far between.
If you are flying domestic in Canada, it is more complicated than if you are flying international.
If flying domestic, each flight you make has to be prorated between the provinces you land in.
As an example.
If you fly from Vancouver to Calgary, half the flight is credited to Alberta and half to BC.
If you then fly from Calgary to Toronto, 1/2 goes to Alberta and 1./2 to Ontario.
Toronto to Ottawa and back to Toronto all goes to Ontario.
Toronto to Chicago gives about 8% to Ontario and the US gets the rest.
Chicago to Calgary gets about 8% to Alberta and the rest to the US
Calgary to Vancouver is half to Alberta and one half to BC.
You will be looking at a minimum of $1,500 and likely more if domestic as a fee.
If you are flying internationally, it is a little easier because there are less pro-rations necessary and it would be cheaper..
CEN-TA Cross Border Services - Tax, Visas, Immigration