Ppp

Please share If any of you have similar experience or knowledge about
the subject: (Thanks in advance):
1. I have worked in the US from 1999 to March 2003 in H1-B. I used to
file my taxes in US in previous years as a resident.
2. I landed in Canada in May 2003 as a permanent resident and working
continually only here in Canada. After landing, my only income is my
regular pay check from my Canadian employer.
3. How should I file my taxes:
a) Should I file my US taxes As a resident or non-resident?, By the
way, in my calculation, I expect refund from IRS. If I should file as
a non-resident, should I inform IRS how and when I became non-resident
of USA by filling out special forms? ( I should mention that my
daughter is a US citizen by birth: will it have any effect?)
b) When I file my Canadian taxes, should I mention about my US
earnings, which were absolutely before landing?

I went to local tax accountants here in Toronto, but looks like they
do not have good knowledge and experience about these cross border
issues.

With appreciation.

Tam

On 14/3/04 3:03, in article [email protected],
"ppp" <[email protected]> wrote:

    > Please share If any of you have similar experience or knowledge about
    > the subject: (Thanks in advance):
    > 1. I have worked in the US from 1999 to March 2003 in H1-B. I used to
    > file my taxes in US in previous years as a resident.
    > 2. I landed in Canada in May 2003 as a permanent resident and working
    > continually only here in Canada. After landing, my only income is my
    > regular pay check from my Canadian employer.
    > 3. How should I file my taxes:
    > a) Should I file my US taxes As a resident or non-resident?, By the
    > way, in my calculation, I expect refund from IRS. If I should file as
    > a non-resident, should I inform IRS how and when I became non-resident
    > of USA by filling out special forms? ( I should mention that my
    > daughter is a US citizen by birth: will it have any effect?)
    > b) When I file my Canadian taxes, should I mention about my US
    > earnings, which were absolutely before landing?
    >
    > I went to local tax accountants here in Toronto, but looks like they
    > do not have good knowledge and experience about these cross border
    > issues.

1. For your U.S. state taxes you file part-year resident. If you had income
(such as rents) from that state after you left, you file as non-resident for
those months.

2. For fed tax, get yourself TurboTax and it will walk you through the
problem. If an H1B visa holder is in the US for 183 days or more in a year,
that counts as Resident.

3. Canadian federal and provincial tax can be aggregated for purposes of
foreign tax (and treaty) credit (caution: NY and MI, and perhaps one or more
other states, allow credit of provincial tax against state tax).

4. Your daughter's status is irrelevant.

5. You may want to contrive to have $3,600 (2003 figure, this will rise with
inflation) of US income per year, and pay Self Employment Tax on it, until
you have ten (10) years (40 quarters) of social security and Medicare
coverage. This will give you a US state pension in addition to the CPP (and
somewhat more generously than totalisation would give you) plus Medicare if
you happen to take your winters in Florida...

Hope that helps. You can post further questions on misc.taxes.moderated ;
they are usually helpful and knowledgeable.