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Canadian Company, Canadian Employee, Canadian Dollars, working remotely, temporarily, partially - tax implication with the IRS??

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(@Anonymous)
Joined: 1 second ago
[#214]

Are there any tax implications for a Canadian employee, working for a Canadian Corporation, paid in Canadian dollars? Total time in the US is about 20% of the annual hours.


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Posts: 663
(@dexter)
Joined: 3 months ago

Hi Kay,

You should file a US tax return (1040-NR) with the IRS to report the portion of your total wages that relate to the work that you physically performed in the US (i.e. 20% of total wages in your case).

On your Canadian return, you will be taxable on your worldwide income. In order to avoid double taxation, claim a foreign tax credit on your Canadian return for the American taxes paid.


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