Tax in a different Province
#1
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Joined: Jul 2019
Posts: 145
Tax in a different Province
Hi guys,
Am I able to figure out my income using a simple tool like below... and choose BC for Province or territory.
https://simpletax.ca/calculator
I plan to live in BC, but my employer will be based on Ontario.
Many Thanks.
Am I able to figure out my income using a simple tool like below... and choose BC for Province or territory.
https://simpletax.ca/calculator
I plan to live in BC, but my employer will be based on Ontario.
Many Thanks.
#2
Re: Tax in a different Province
Hi guys,
Am I able to figure out my income using a simple tool like below... and choose BC for Province or territory.
https://simpletax.ca/calculator
I plan to live in BC, but my employer will be based on Ontario.
Many Thanks.
Am I able to figure out my income using a simple tool like below... and choose BC for Province or territory.
https://simpletax.ca/calculator
I plan to live in BC, but my employer will be based on Ontario.
Many Thanks.
Last edited by Engineer_abroad; Jan 18th 2020 at 11:16 am.
#3
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Joined: Jul 2019
Posts: 145
Re: Tax in a different Province
Thank you. maybe you can refer me to a better site/calculator? my main question however was about paying tax in a different state though... (I will be in BC, and employer in Toronto)
#4
Re: Tax in a different Province
tax guide for the province you have to pay tax in.
regards your other question does your employer have an office or operation in B.C.? My understanding is you pay tax in your province of residence but I can see there being an issue with things like MSP payments, which employer pays to B.C. provincial government. Hopefully someone else will know more than me.
#5
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Re: Tax in a different Province
Living in BC while working in Ontario could cause you issues when paying things like WSIB contributions - 1.88% of earnings over $100 (Ontario) MSP contributions (BC).
This is the official word for employers - so if you are working remotely and your employers are paying you from Ontario you will have to pay Ontario and Provincial deductions (EI, CPP, WSIB, Taxes) and then also submit a tax return in BC and pay your MSP contributions. Something to consider - you will need to use Ontario for deductions and then work out what your MSP contribution would be based on your nett income, I presume.
(On a side note, if you are a remote worker being paid by an Ontario registered company then the hourly rate for home workers applies - $15.40 an hour https://www.ontario.ca/document/your...-0/homeworkers )
https://www.canada.ca/en/revenue-age...ax-tables.html
Province of employment | The Tax Issue
This is the official word for employers - so if you are working remotely and your employers are paying you from Ontario you will have to pay Ontario and Provincial deductions (EI, CPP, WSIB, Taxes) and then also submit a tax return in BC and pay your MSP contributions. Something to consider - you will need to use Ontario for deductions and then work out what your MSP contribution would be based on your nett income, I presume.
(On a side note, if you are a remote worker being paid by an Ontario registered company then the hourly rate for home workers applies - $15.40 an hour https://www.ontario.ca/document/your...-0/homeworkers )
https://www.canada.ca/en/revenue-age...ax-tables.html
If your employee does not have to report to your establishment in person (for example, the employment contract says the employee works from a home office), the employee’s province or territory of employment is the one from where your employee’s salary and wages are paid. This will normally be the location of your payroll department or payroll records.
Last edited by Siouxie; Jan 19th 2020 at 4:14 pm.
#6
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Joined: Jul 2019
Posts: 145
Re: Tax in a different Province
Thanks. Yes, my employer doesn't have a branch in BC, so it will be the remote working scenario you suggested. It all sounds rather complicated. Hopefully my employer can give me a cleaner picture.
#7
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Location: Near Kingston, Ontario
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#8
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Joined: Jul 2019
Posts: 145
Re: Tax in a different Province
Living in BC while working in Ontario could cause you issues when paying things like WSIB contributions - 1.88% of earnings over $100 (Ontario) MSP contributions (BC).
This is the official word for employers - so if you are working remotely and your employers are paying you from Ontario you will have to pay Ontario and Provincial deductions (EI, CPP, WSIB, Taxes) and then also submit a tax return in BC and pay your MSP contributions. Something to consider - you will need to use Ontario for deductions and then work out what your MSP contribution would be based on your nett income, I presume.
(On a side note, if you are a remote worker being paid by an Ontario registered company then the hourly rate for home workers applies - $15.40 an hour https://www.ontario.ca/document/your...-0/homeworkers )
https://www.canada.ca/en/revenue-age...ax-tables.html
Province of employment | The Tax Issue
This is the official word for employers - so if you are working remotely and your employers are paying you from Ontario you will have to pay Ontario and Provincial deductions (EI, CPP, WSIB, Taxes) and then also submit a tax return in BC and pay your MSP contributions. Something to consider - you will need to use Ontario for deductions and then work out what your MSP contribution would be based on your nett income, I presume.
(On a side note, if you are a remote worker being paid by an Ontario registered company then the hourly rate for home workers applies - $15.40 an hour https://www.ontario.ca/document/your...-0/homeworkers )
https://www.canada.ca/en/revenue-age...ax-tables.html
Province of employment | The Tax Issue
Thanks for the details again. I've been reading up on it a bit more (and hopefully employer will also give me a better breakdown of take home pay before i consider and accept an offer).
From the 2nd link...
As a result, you will probably have a large refund for federal purposes and taxes due on your Quebec return.
I also learned MSP is free from 2020. If I am on a work permit, how does it work out?
#9
Re: Tax in a different Province
im not sure where you read this. All BC residents must enroll in MSP. What changed recently was that the worker no longer pays the premiums but the employer, however as your employer isn’t in BC they won’t have to pay it, this could mean that they pursue you for the premiums.
#10
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Joined: Jul 2019
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Re: Tax in a different Province
im not sure where you read this. All BC residents must enroll in MSP. What changed recently was that the worker no longer pays the premiums but the employer, however as your employer isn’t in BC they won’t have to pay it, this could mean that they pursue you for the premiums.
#11
Re: Tax in a different Province
My husband commuted for 3 years to his job in Alberta (fly in/fly out). We lived in Nova Scotia at the time. His wages were paid out of Alberta so he was taxed accordingly by that province.
When we filed his yearly taxes at home in NS he had to pay a tax bill of an additional $6000 per year because income tax in NS is a much higher rate than Alberta (17.5% in NS compared to 10% in AB).
Aside from all the travel, we’d had enough of the high taxes so we moved to Alberta! Love it here and don’t feel ripped off.
When we filed his yearly taxes at home in NS he had to pay a tax bill of an additional $6000 per year because income tax in NS is a much higher rate than Alberta (17.5% in NS compared to 10% in AB).
Aside from all the travel, we’d had enough of the high taxes so we moved to Alberta! Love it here and don’t feel ripped off.
#12
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Joined: Jul 2019
Posts: 145
Re: Tax in a different Province
My husband commuted for 3 years to his job in Alberta (fly in/fly out). We lived in Nova Scotia at the time. His wages were paid out of Alberta so he was taxed accordingly by that province.
When we filed his yearly taxes at home in NS he had to pay a tax bill of an additional $6000 per year because income tax in NS is a much higher rate than Alberta (17.5% in NS compared to 10% in AB).
Aside from all the travel, we’d had enough of the high taxes so we moved to Alberta! Love it here and don’t feel ripped off.
When we filed his yearly taxes at home in NS he had to pay a tax bill of an additional $6000 per year because income tax in NS is a much higher rate than Alberta (17.5% in NS compared to 10% in AB).
Aside from all the travel, we’d had enough of the high taxes so we moved to Alberta! Love it here and don’t feel ripped off.
How about the health cover? If your husbands company paid in AB, how did that work out for you guys in NS...
#13
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Joined: Dec 2019
Location: UK
Posts: 32
Re: Tax in a different Province
The Ernst & Young tax calculator is handy for rough calculations for personal tax info. The link below is for 2020.
https://www.eytaxcalculators.com/en/...alculator.html
https://www.eytaxcalculators.com/en/...alculator.html
#14
Re: Tax in a different Province