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Living in Canada as a Permanent Resident but working for a UK based company?

canuck78

VIP Member
Jun 18, 2017
52,981
12,772
I have no status in the UK, and I am on an open work permit in Canada. However, I will have my PR by April.
So your company is paying you as a contractor in Canada. You couldn’t file UK taxes since you have no legal status there. You need to do some research about what you need to do as someone who is self-employed in Canada.
 

Sarah0211

Star Member
Apr 24, 2019
126
66
So your company is paying you as a contractor in Canada. You couldn’t file UK taxes since you have no legal status there. You need to do some research about what you need to do as someone who is self-employed in Canada.
That is very helpful, thank you! Do you recommend that I should work with an Accountant? I usually file my own taxes.
 

canuck78

VIP Member
Jun 18, 2017
52,981
12,772
That is very helpful, thank you! Do you recommend that I should work with an Accountant? I usually file my own taxes.
You should be doing research or meet with an accountant. You are no filing taxes like a simple employee who has had all their deductions taken by their employer and given a T4. How you structure what essentially is your business needs to be considered.
 

Sarah0211

Star Member
Apr 24, 2019
126
66
You should be doing research or meet with an accountant. You are no filing taxes like a simple employee who has had all their deductions taken by their employer and given a T4. How you structure what essentially is your business needs to be considered.
Will do, thank you!
 

Elsbells

Newbie
Aug 12, 2021
4
0
Im in a similar position to a few people but still really worried I’ll mess up. I work for uk company but live in Canada. I have 3 years working visa in Canada (husband is here for Canadian company) and accept im here for a few years.
I’ve been given conflicting advice about where to pay tax and whether o can actually do it or not. My accountant just says to declare as worldwide income but as I don’t get T4s etc and the financial years don’t live up am I trying to do something more tricky than he thinks?
 

canuck78

VIP Member
Jun 18, 2017
52,981
12,772
Im in a similar position to a few people but still really worried I’ll mess up. I work for uk company but live in Canada. I have 3 years working visa in Canada (husband is here for Canadian company) and accept im here for a few years.
I’ve been given conflicting advice about where to pay tax and whether o can actually do it or not. My accountant just says to declare as worldwide income but as I don’t get T4s etc and the financial years don’t live up am I trying to do something more tricky than he thinks?
Are you a UK citizen? Is your employer making deductions as if you were in the UK?
 

Elsbells

Newbie
Aug 12, 2021
4
0
Yes- Uk citizen. Yes they are still deducting but hmrc sent me a confusing email where they’d said I should be on a NT code in uk and pay all in Canada, having said the opposite previously. That’s what threw me.
It’s a uk company I work for, no offices outside of Yorkshire let alone uk so work accountant is struggling too.
 

canuck78

VIP Member
Jun 18, 2017
52,981
12,772
Yes- Uk citizen. Yes they are still deducting but hmrc sent me a confusing email where they’d said I should be on a NT code in uk and pay all in Canada, having said the opposite previously. That’s what threw me.
It’s a uk company I work for, no offices outside of Yorkshire let alone uk so work accountant is struggling too.
If they aren’t taking out deductions it looks like you are essentially working as a contractor for the organization. You should confirm with your employer how they want to set up your employment, You would have to speak to an accountant who will advise you how to set up your contracting business so that it is the most tax efficient.
 

Elsbells

Newbie
Aug 12, 2021
4
0
If they aren’t taking out deductions it looks like you are essentially working as a contractor for the organization. You should confirm with your employer how they want to set up your employment, You would have to speak to an accountant who will advise you how to set up your contracting business so that it is the most tax efficient.
 

Elsbells

Newbie
Aug 12, 2021
4
0
They (uk) are taking deductions and issued me a tax code for this year I’ve also paid NI. I’m beginning to think I should just be doing it as normal and then tax on the extra in Canada. I need to do self assessment in uk as I rent out my house. Im at the stage where I’ll happily pay tax in both countries just to stop worrying about it. I’m not being taxed in Canada by my employer but did declare on my tax return as worldwide income. I’d literally done a weeks work all year though so didn’t owe tax
 
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