An American Working in Canada

[rhcohen2014]

Soooo... I started my first job here in canada and I'm a little bit confused on all things employment and taxes here. In the US, when I start a job, there are the "usual" state and federal tax forms to fill out and they take a copy of my passport to prove my identity/residency. Here, all I had to do was fill out 1 form with my personal info, marital status and SIN#.

Is that really all there is to it here? Or am I missing something. Frankly, i've only had 1 training shift, so I'm not sure if I should be expecting more tax related forms to fill out?

 

[Leon]

Soooo... I started my first job here in canada and I'm a little bit confused on all things employment and taxes here. In the US, when I start a job, there are the "usual" state and federal tax forms to fill out and they take a copy of my passport to prove my identity/residency. Here, all I had to do was fill out 1 form with my personal info, marital status and SIN#.

Is that really all there is to it here? Or am I missing something. Frankly, i've only had 1 training shift, so I'm not sure if I should be expecting more tax related forms to fill out?

The SIN is generally enough info. They will check with Service Canada that the SIN you gave them is yours and they will use it to deduct your taxes, pension plan etc.

 

[rhcohen2014]

The SIN is generally enough info. They will check with Service Canada that the SIN you gave them is yours and they will use it to deduct your taxes, pension plan etc.

so that's it? how simple! i think i may like it here. thanks!

wait, so then how do they know how much to take out?

 

[Leon]

so that's it? how simple! i think i may like it here. thanks!

wait, so then how do they know how much to take out?

There are certain percentages for EI (employment insurance), CPP (pension plan) as well as the taxes based on your income. Once a year, they will send you a T4 which is a slip showing your deductions. You will use that to file your taxes. Add your other deductions you may qualify for. Apply for the GST credit etc. and then the tax dudes will either send you a bill or send you money back.

 

[rhcohen2014]

There are certain percentages for EI (employment insurance), CPP (pension plan) as well as the taxes based on your income. Once a year, they will send you a T4 which is a slip showing your deductions. You will use that to file your taxes. Add your other deductions you may qualify for. Apply for the GST credit etc. and then the tax dudes will either send you a bill or send you money back.

got it, thanks Leon!