I am a US citizen living and working in Canada ( PR) I want to file my US taxes, i don't know where to start. Can anyone tell me what software to use? do i have to use the Canadian form or US form? where can i file the taxes online?. I wanted to use HR block, but i heard they are very expensive. If i can't file my taxes on my own, is there any suggested on where i can file my taxes for lesser charges. I live in Calgary Alberta. Any suggestion will be greatly appreciated.Thanks in advance.
How can i file my US tax? I live and work in Canada.
- Thread starter kelseyA
- Start date
Hello,
I have the same issue. I am just going to take a trip to the US in the next couple of weeks to buy the software at Walmart. Something like TurboTax should work just fine. It will allow you to file the return online. Cdn software will not work for the US return and vice versa. I filed my Cdn taxes online using UFile.
Unless your tax return is complicated (if you own a business, bought or sold property etc), I would say HR Block is a rip off. BTW...you have an automatic 2 month extension for your US if you live abroad.
P.d.R.
I have the same issue. I am just going to take a trip to the US in the next couple of weeks to buy the software at Walmart. Something like TurboTax should work just fine. It will allow you to file the return online. Cdn software will not work for the US return and vice versa. I filed my Cdn taxes online using UFile.
Unless your tax return is complicated (if you own a business, bought or sold property etc), I would say HR Block is a rip off. BTW...you have an automatic 2 month extension for your US if you live abroad.
P.d.R.
Thanks so much for the info. I downloaded the Turbo Tax software, but so confused on what to do, i don't know which forms to fill. They are asking for W2 while we have but T4. I can't see form 1040. Am i to file just the Federal tax? Do you have any idea. Any info will be greatly appreciated.PommeDeRoute said:
Hello Again,
Have you worked in Canada all year (2009)? If so, you will only need to file a federal, not a state.
Also, make sure the version of TurboTax you downloaded can handle foreign income. Sometimes the software companies release different versions that can handle returns of varying complexity. It is foreign income that you will have to declare if you worked in Canada for the entire year.
Normally the software gives you a questionnaire to fill out and populates the appropriate forms automatically, so you won't have to physically fill out the 1040. You then have the option of printing and mailing the forms or filing online. If you file online, you do not need to submit supporting documentation with the return. Make sure, though that you keep the supporting documentation in case you are audited. The time you are required to keep the supporting documentation is something like 5 or 7 years.
There is normally an exemption for foreign income of up to something like $70,000 (this changes every year). This means that if you earned less than this, you will not have to pay any tax in the US. You are still required to file a return, however. Also, filing a tax return is one way to show the US that you are interested in maintaining your US citizenship if you become Canadian.
US tax laws are much more confusing than Canadian ones, but you can find a lot of information at irs.gov.
Have you worked in Canada all year (2009)? If so, you will only need to file a federal, not a state.
Also, make sure the version of TurboTax you downloaded can handle foreign income. Sometimes the software companies release different versions that can handle returns of varying complexity. It is foreign income that you will have to declare if you worked in Canada for the entire year.
Normally the software gives you a questionnaire to fill out and populates the appropriate forms automatically, so you won't have to physically fill out the 1040. You then have the option of printing and mailing the forms or filing online. If you file online, you do not need to submit supporting documentation with the return. Make sure, though that you keep the supporting documentation in case you are audited. The time you are required to keep the supporting documentation is something like 5 or 7 years.
There is normally an exemption for foreign income of up to something like $70,000 (this changes every year). This means that if you earned less than this, you will not have to pay any tax in the US. You are still required to file a return, however. Also, filing a tax return is one way to show the US that you are interested in maintaining your US citizenship if you become Canadian.
US tax laws are much more confusing than Canadian ones, but you can find a lot of information at irs.gov.
Thanks again for taking your time to answer my questions. I just decided to look for a tax person to do the taxes for me, i don't think i can handle it myself. I went to HR block and the guy there told me it's between $250 -$300 to do the return and that because i filed the canadian income tax i should be able to get the $1000 per child for US child tax credit, I did get about $2000 last year for my two kids though even though i did not live in the US. I went to Liberty tax. the guy told me it's $100 to file the US tax and that i am not going to receive the $1000 per child tax credit from the US since i did not live there, but that i can receive the money if i am lucky, i did ask him if it's the law or it's about luck. He couldn't give me an answer. Thanks again for your time.PommeDeRoute said:
You might want to check the cost of using a real accountant; the prices H&R Block is quoting seem very similar to the cost of using a CA/CPA. Most of the big name firms (tier 1 and tier 2 accountants) do handle personal taxes, including joint US/Canada tax returns. I'm pretty sure both Cadesky and KPMG in Toronto handle them, and can do most everything via email/fax/postal mail.kelseyA said: