I need some advice on taxation for an LLC I set up in the USA.
I am a Canadian, living in Canada but recently set up a Single Member LLC in the States. I have an online business and it was easier to pay my contractors with an American bank account since they are all American. I have no Canadian employees at this time, so I was advised to set up the LLC.
My question is this - if I live in Canada, work in Canada (since it is an e-business there is technically no set office in Canada or the US), but my income is coming from my LLC's American bank account, how do I go about paying myself and claiming taxes without paying twice? Am I considered Self Employed in Canada even though I own the company? Since the business is brand new (established 2 months ago) I am not sure my gross income, but I would ballpark it at around $100,000/year.
Furthermore, is it necessary to create an affiliate company here in Canada to avoid legal and tax issues?
Many thanks!


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