Canada and/ or US Tax

[kunde052]

If a person is on H1b in USA. Working full time, and the person has also had PR from Canada. He/ she is staying only 3- 4 weeks a year in Canada (less than 183 days a year).

Does he pay the US or Canada Tax?? or Both?

PS: I understand there is a residency obligation (2 out of 5 years) to consider, however I would appreciate more guidance on my mentioned scenario.

 

[H1B_140approved_CanadaPR]

While I was discussing this with my CPA he told me it all Depends on your "Primary" and "Secondary" Ties to Canada. DO you own a house there? Do u have Canadian Driving License & Car ? Where does your family live? .... are few of them among many other things.

In any case, determine your situation by reading this thoroughly and/or get an answer from experienced CPA who handles US/Canada Taxes .

https://www.canada.ca/en/revenue-agency/services/tax/international-non-residents/information-been-moved/determining-your-residency-status.html

 

[harirajmohan]

If a person is on H1b in USA. Working full time, and the person has also had PR from Canada. He/ she is staying only 3- 4 weeks a year in Canada (less than 183 days a year).

Does he pay the US or Canada Tax?? or Both?

PS: I understand there is a residency obligation (2 out of 5 years) to consider, however I would appreciate more guidance on my mentioned scenario.

Yes (mainly if you are going to apply for citizenship ), you need to pay and file taxes in both countries. Even in citizenship application they will ask if you have filed taxes for the years you included residency days. In audit, they even ask if you have file as resident or non resident in tax filing.
Their intent to check if you are making Canada as primary residence after PR.