Living in Canada and working for USA company remotely

Steven
CanuckAbroad VIP



Joined: 28 Sep 2007
Posts: 1662
Location: Calgary

Posted: Thu Sep 25, 2008 10:35 am

 

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Sounds like skilled worker, go to the CIC website and see if you qualify for it. Takes a couple of years at present to get it even if you do. The other alternative is to get a work permit which also gives you more points towards permanent residency (the Govt. strongly suggests you do it that way, as it only takes a month to process a work permit and you can work while your PR application is considered, however you are tied down to the employer who got your permit).

The big snag for a US citizen moving to Canada (and the reason why it's not terribly popular) is that you still have to file a US tax return every year, and the US foreign tax credit for non-resident US citizens maxes out at $87,500 (2007), so if you earn over that amount you would be subject to dual taxation on it. Have a read of the instructions for IRS Form 2555.

If you never hit that limit it's not a big deal.

Supposedly the Democrats want to repeal that limit, given the current goings on in the US though I think it is highly unlikely.

Plus Canadian income taxes are higher than US taxes, which is another reason Americans don't move to Canada in significant numbers, imo.

But hey we've got a public healthcare system. Somewhere. If you happen to find it, let me know.
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Steve.

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Charmed1
New Member



Joined: 11 May 2008
Posts: 9
Location: Connecticut

Posted: Thu Sep 25, 2008 4:44 pm

 

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LOL! Yeah, I have heard about the 'free' healthcare! Maybe I'll just be one of those lifetime commuters! I rather like calling my doctor on Monday for a Monday appointment, and paying my little 15.00 copay for the priveledge! Canadians pay for it taxation anyway. I was absolutly appalled when I went to Walmart, my favorite store, and everything was 2-22 dollars more expensive. But still, it's worth it, to me. I truly love Canada. And I can always shop at my local Walmart here, since I do pass one to get on the highway north! LOL! Thanks so much for all the info, seriously. I'm sure I'll be asking more questions.
As for the Democrats repealing anything at the moment.NAH. The democrats and republicans are way too busy flinging mud at each to worry about real issues.

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Steven
CanuckAbroad VIP



Joined: 28 Sep 2007
Posts: 1662
Location: Calgary

Posted: Thu Sep 25, 2008 10:01 pm

 

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You haven't experienced politics until you've lived in Canada.

There are four major Federal parties in Canada (or five if you include the Greens, which I don't), the Conservatives, the Liberals, the NDP and the Bloc Québecois.

In most of the country (except Québec) there are three main parties (Conservatives, Liberals and NDP) which follow the Federal parties except in BC where the Liberals are not connected to them and are right-wing and the NDP are the main left-wing party, except in the rural areas where it's basically the Conservatives against the Liberals. So you often see BC Liberal MLAs switch to the Conservatives when they run for Federal office.

Confused yet? If not, visit Québec.

And you haven't seen a Govt. in action until you've seen a bilingual argument over a budget measure in Parliament.

I have to say the biggest laugh I ever have is watching coverage of the Alberta Legislature, which is unicameral and the tories hold nearly all the seats.

Joe Iggy MLA (PC - Smalltown): "I would like to ask the Minister of Public Safety what my constituents should do if they have an emergency."

Sarah Asskisser MLA (PC - Spruce Grove): "I would suggest that they contact the emergency services. I believe they have a special telephone number for that purpose."

Arnold Backbencher MLA (PC - Le Duc) "Is it 911?"

"Yes, I believe so, I thank the gentleman for his assistance in answering the question."

Joe: "Would the minister happen to know how much money the Province spends on supporting the 911 service?"

Sarah: "I would have to look it up but I believe it's quite a lot."

Bill Gruff (PC - West Lethbridge): "I would like to ask the Minister for Housing and Infrastructure if he is aware that shoddy building practices in Lethbridge have led to some of my constituents getting upset."

Fred Fatass (PC - Drumheller): "The courts are available to redress these problems in the gentleman's riding."

Bill: "I thank the honourable gentleman for his considered opinion."

Mr. Speaker: "Now we move onto motions, does any member have a motion to make?"

Darhan Kang MLA (Liberal - Calgary NE): "Mr. Speaker, I rise to present a petition from my constituents complaining of possible corruption in the allocation of Provincial funds to the Calgary Health Region and the effect it his having on the vaccination of pre-school -"

Mr. Speaker: "I'm afraid we've run out of time for motions, onto legislative business."

Bob Green (PC - Edmonton Gold Bar): "Mr. Speaker, I rise to introduce the Road and Highways (Amendment) Bill, to amend schedule 1 of the Road and Highways Act 1982 to re-allocate municipal road levies to the Provincial highway fund in order to ensure uniformity of expenditure on highways throughout the Province."

Premier Ed Stelmach MLA (PC - Fort Saskatchewan): "ZZzzzzzzzzzz."

Truly, democracy is a beautiful thing to behold.

http://www.cbc.ca/mercerreport/backissues.php?season=5

click on episode 11 and watch "congrats Mr Stelmach"
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Steve.

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Charmed1
New Member



Joined: 11 May 2008
Posts: 9
Location: Connecticut

Posted: Sat Sep 27, 2008 3:10 am

 

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OMG! That was so funny, Steve! I'm sorry, that was REALLY FUNNY! The 9-1-1 responses were priceless! However.for true fun.you would have to have seen the first Presidential Debate last night. Sigh. And LAUGH. On the one hand, we had McCain totally ignoring Obama. Refusing to address him directly even after numerous requests from the mediator to do so. No eye contact, nothing. All the while, explaining.OVER AND OVER.how he was so much more qualified because he was in the war. Yup. That WOULD be Vietnam.wouldn't it? And I'm sorry, but what you did in 1982, while I'm sure was.something.I'm confused as to what you did LAST year? Or.is it simply that you cannot remember what you did last year? I understand age does that. Then, we have poor Obama, trying to be the bad guy and take the low road like his constituant. Sigh (again). Stick with the high road, my friend, you're really not very good at fighting dirty.
Well, we'll see what happens NEXT!

But back to me! Do you know if I can/should apply for a Canadian drivers license or some sort of id? I plan on applying for my social insurance number in January.

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Reba
Moderator


Canuck in NC

Joined: 16 Jul 2004
Posts: 1499
Location: North Carolina

Posted: Sat Sep 27, 2008 6:41 am

 

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Can you even get a SIN if you don't have legal resident status?
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READ ME FIRST!! Immigration Information for Canadians who want to move to the US for any reason.

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Steven
CanuckAbroad VIP



Joined: 28 Sep 2007
Posts: 1662
Location: Calgary

Posted: Sat Sep 27, 2008 3:35 pm

 

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You've got to have a work permit or PR status to get an SIN. SINs issued to permit holders are time limited.

You can't get a Canadian DL as a visitor either, they will ask to see your permit or your PR card.

Personally I thought McCain slaughtered Obama later on in that debate, Obama started to stutter and every other line McCain was saying: "When I went to." or "When I met with." which just made Obama look painfully inexperienced, especially when he was forced to mention Biden.

He did better than McCain to begin with but I thought McCain did quite well with the line: "When you're that far to the left, it's hard to reach across the aisle." Definitely the most memorable line of the debate.

Neither of them are particularly good debaters, Obama gives good speeches and McCain is better at talking informally.

I think McCain would do better to try talking directly to him, I don't think Obama is that good at to and fro.
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Steve.

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totvos
New Member



Joined: 13 Nov 2008
Posts: 3
Location: Mississauga

Posted: Thu Nov 13, 2008 2:54 pm

 

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I would like to jump in on this discussion and ask about a variation. I work in Canada, and am a contractor for a US company. I am a sole proprietor, and I bill them monthly in US dollars. I have other customers, but this company forms the lion's share of my billing at present.

From time to time, I visit them for a bunch of meetings crammed into a week. Is it sufficient to say I am just "going for meetings"? On one visit, USIS gave me the gears, saying I needed to be incorporated to prove I was not working full time for this company. They eventually changed their mind (after a huge delay at the airport), but now I am spooked.

Does it matter that I have most of my income coming from them, on a regular (monthly) basis? I have a signed contract clearly stating my contractor status and, again, I do all my work in Canada. I cannot imagine this is offside, but my bad experience makes me wonder.

-- tomo

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Steven
CanuckAbroad VIP



Joined: 28 Sep 2007
Posts: 1662
Location: Calgary

Posted: Thu Nov 13, 2008 5:04 pm

 

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Absolutely you can go in as a regular B-1 visitor for business for this purpose.

I would say the best thing to take with you would be your US tax return. Under US law if you're a self-employed foreigner in another country with a US client, you have to report to the IRS your income and make a tax treaty claim, which is basically so that they are aware of your tax treaty status and your client doesn't have to do non-resident alien withholding.

You file a 1040NR tax return and an 8833 tax treaty claim every year at tax time, and you file an 8233 with your client to inform them of your tax status (so they have something to show the IRS in case they get audited to prove they don't have to do NRA withholding). There is no tax to pay in the US unless you do the work there, it's just a reporting requirement.

That proves you are a non-resident alien because it's a non-resident return, and the Canadian address on the return indicates that's your principal residence. The fact you pay no tax largely (not totally because there is a limited exception in the tax treaty for short-term work) proves that the work is being done outside the US.

Whether or not they're clever enough to deduce that from your 1040NR is an open question, but you have to file it anyway and it doesn't get much better in terms of proof.
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Steve.

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