sweating bullets
Dec 23rd 2006, 1:23 pm
#46
Lost in BE Cyberspace
Thread Starter
Joined: Dec 2006
Location: Nova Scotia Canada
Posts: 27,078
Re: sweating bullets
Originally Posted by Rete
No the rental income is only taxed in Canada. As long as the income is earned in Canada and taxes paid on it there and under the allowed amount in the US/Can tax treaty, you only pay once. I am not retired as I am much younger than my husband and still working full time. In fact he is working full time in the US as well as he will not qualify for social security until he has worked 40 quarters regardless of his being a USC. Nor will he qualify for Medicare until that time.
He, however, is a Canadian born in Canada and who lived in Canada until 8 years ago. He had three children all raised in various provinces from east to west coasts and inbetween as well in many European countries. I am fully aware of the inability to claim dependents on Canadian returns.
When all is said and done, even with the so-called tax breaks in the US once you add together the amounts you have to pay for healthcare (even employer sponsored healthcare today requires that the beneficiary pay part of it), your co-pays, etc. your debits will be equal to the tax structure of a Canadian whose healthcare is part of their tax.
I only wonder why you, as a USC, lived and raised children in Canada if the tax structure was so prohibitive, seeing that you were apparently born and lived your younger years in the US.
He, however, is a Canadian born in Canada and who lived in Canada until 8 years ago. He had three children all raised in various provinces from east to west coasts and inbetween as well in many European countries. I am fully aware of the inability to claim dependents on Canadian returns.
When all is said and done, even with the so-called tax breaks in the US once you add together the amounts you have to pay for healthcare (even employer sponsored healthcare today requires that the beneficiary pay part of it), your co-pays, etc. your debits will be equal to the tax structure of a Canadian whose healthcare is part of their tax.
I only wonder why you, as a USC, lived and raised children in Canada if the tax structure was so prohibitive, seeing that you were apparently born and lived your younger years in the US.
I agree 100% that health care costs will eat up most of any tax savings, and that's sad really, but reality. I do pay over $200 a month for dental and prescription coverage. I also pay, thanks to a change in the rules, a surtax for Health care on my tax return. But still, the cost will be much higher in the U.S. as you correctly point out. Truth is, I'd probably be wise to apply for immigration for my wife and kids to Canada for that reason alone. Taxes aside. I think the thing that galls me the most here is that whether you have kids or not, you get no credit for the cost of raising them, unless you fall below a certain income level and receive monthly Baby Bonus checks. I have never been in that situation, so I got nada.
As for living and raising children here, I was married to a Canadian. She was homesick, so we moved to Canada. I always made good money, so even with the taxes I couldn't cry too much. I did like the health care bonus, in spite of the bad experiences some have posted here. I have always gotten far more than my money's worth out of the system with no problems at all. I am sure there are many who have had the opposite experience. I suppose that's the rub, we all have our own experiences and form opinions based on that. I'm guilty no doubt.
And for the record, I have not been trying to be difficult with you, and I hope you don't think I have. I am just someone who gets up for vigorous debate and discussion. Might be my least endearing quality.
