Continue working in US, Is it possible

[gwood1567]

I am in the process of obtaining my PR to Canada. I will be maintaining residence in South Surrey, BC and the company I currently work for is in Bellingham, Washington (About a 30 minute commute. My question is, would I be able to maintain working at the same company if I am granted PR, and does anyone know how the taxes might work?

 

[CDNPR2014]

sure it's possible. Assuming you have citizenship/PR status in the US and PR status in Canada, you really shouldn't run into issues.

Canadian taxes require you to disclose your world wide income, so you'll have to claim your US income on your canadian taxes. if you are a US citizen, you are required to file taxes no matter where you live, so you'll have to claim your income to the IRS as well. Since you get credit for canadian taxes paid, it's recommended to file in canada before filing in the us. you may want to reach out to an accountant familiar with cross border taxes the first go around to make sure you're doing it correctly.

 

[gwood1567]

Thank you for the prompt reply, that helps. Do you know, Is there a way for my US company to pay my Canadian Taxes out of my check (Just like in the US) or would I need to be a "Contractor" and use a 1099 of sorts and pay my own taxes at the end of the year?

 

[CDNPR2014]

Thank you for the prompt reply, that helps. Do you know, Is there a way for my US company to pay my Canadian Taxes out of my check (Just like in the US) or would I need to be a "Contractor" and use a 1099 of sorts and pay my own taxes at the end of the year?

I doubt it. My guess is you'll need to pay your own taxes quarterly or yearly.

 

[canuck_in_uk]

Thank you for the prompt reply, that helps. Do you know, Is there a way for my US company to pay my Canadian Taxes out of my check (Just like in the US) or would I need to be a "Contractor" and use a 1099 of sorts and pay my own taxes at the end of the year?

No, an American company cannot remit your Canadian income tax to CRA. After you've sorted your American taxes, you will need to file your Canadian tax return and pay anything owing.

 

[CDNPR2014]

No, an American company cannot remit your Canadian income tax to CRA. After you've sorted your American taxes, you will need to file your Canadian tax return and pay anything owing.

so i guess the country you submit your taxes to first depends on which country you work in? generally, it's recommended to submit canadian first, then US. I'm guessing that's assuming the person is working in Canada? IF a person works in the US only and lives in canada, it's the opposite?

 

[canuck_in_uk]

so i guess the country you submit your taxes to first depends on which country you work in? generally, it's recommended to submit canadian first, then US. I'm guessing that's assuming the person is working in Canada? IF a person works in the US only and lives in canada, it's the opposite?

There is no requirement to file the US taxes first. I say to do it that way because I always found it simpler to sort out the taxes in the country where I was working first, then file my Canadian tax return. It guess it just depends on personal circumstances and which way is easier. The amount of tax owing in Canada, if any, will be the same regardless.

 

[gwood1567]

That is probably the route I will take. It also works out because I believe (Not positive though) that US taxes can be done at the end of January in most case and Canadian taxes are done a month or 2 after that? Confirm?

 

[Tubsmagee]

I will be maintaining residence in South Surrey, BC and the company I currently work for is in Bellingham, Washington (About a 30 minute commute.)

I used to commute through Surrey to Blaine; 30 minutes seems optimistic for Bellingham, have you tried it during normal and holiday periods?