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Maintaining PR While Living in Canada Working for US Company

jwgosz

Newbie
May 17, 2019
5
0
I am a Canadian permanent resident and US citizen. PR status was granted after I had already moved back to the US. Canadian PR expires October 2022.

I have an opportunity to take an 18 month contract job which would allow me to be based anywhere (spending ~4 full and/or partial days/wk where I am based) but the role itself would involve about 50-75% travel to US locations. This role would be paid in USD, and I would receive a 1099 tax form (vs a W2).

So I believe that I can hit the 731 day requirement to renew PR status by Oct 2022. However my question is more along the lines of employment. Will the Canadian government care that I am working for a US company, being paid USD? I know my tax situation will be complicated and I will need to leverage a professional to make sure taxes on both sides of the border are properly filed, but as long as I have a physical presence in Canada for 731 days in the 5 year PR period, and taxes are properly filed, will anything else cause issues for renewing PR?
 

canuck_in_uk

VIP Member
May 4, 2012
31,558
7,196
Visa Office......
London
App. Filed.......
06/12
I am a Canadian permanent resident and US citizen. PR status was granted after I had already moved back to the US. Canadian PR expires October 2022.

I have an opportunity to take an 18 month contract job which would allow me to be based anywhere (spending ~4 full and/or partial days/wk where I am based) but the role itself would involve about 50-75% travel to US locations. This role would be paid in USD, and I would receive a 1099 tax form (vs a W2).

So I believe that I can hit the 731 day requirement to renew PR status by Oct 2022. However my question is more along the lines of employment. Will the Canadian government care that I am working for a US company, being paid USD? I know my tax situation will be complicated and I will need to leverage a professional to make sure taxes on both sides of the border are properly filed, but as long as I have a physical presence in Canada for 731 days in the 5 year PR period, and taxes are properly filed, will anything else cause issues for renewing PR?
When did you actually land? PR status doesn't expire. The expiry date of your PR card is irrelevant to meeting the Residency Obligation. You must have 730 days in Canada in the 5 years from the day you landed.

IRCC won't care if you are working for a US company.
 

k.h.p.

VIP Member
Mar 1, 2019
8,810
2,249
Canada
Residency obligation has nothing to do with your employer or the currency of your paycheques, it has to do with where you live.

As @canuck_in_uk mentions, the initial residency requirement is calculated as five years from date of landing, thereafter it is a rolling five years.
 

jwgosz

Newbie
May 17, 2019
5
0
Understood - Date of landing is 16-June-2017. So as long as I am in Canada for 730 full or partial days before 15-June-2022, and my tax returns are in order, there should be no issue with maintaining PR status?

Thanks,
Jordan
 

canuck_in_uk

VIP Member
May 4, 2012
31,558
7,196
Visa Office......
London
App. Filed.......
06/12
Understood - Date of landing is 16-June-2017. So as long as I am in Canada for 730 full or partial days before 15-June-2022, and my tax returns are in order, there should be no issue with maintaining PR status?

Thanks,
Jordan
Yes. Leave yourself a buffer to account for any reasons you may have to leave Canada, i.e. family emergency.
 

zardoz

VIP Member
Feb 2, 2013
13,304
2,166
Canada
Category........
FAM
Visa Office......
London
App. Filed.......
16-02-2013
VISA ISSUED...
31-07-2013
LANDED..........
09-11-2013
Understood - Date of landing is 16-June-2017. So as long as I am in Canada for 730 full or partial days before 15-June-2022, and my tax returns are in order, there should be no issue with maintaining PR status?

Thanks,
Jordan
Your tax returns are nothing to do with the PR card or status. It's physical residency in Canada that will be assessed.
 

jwgosz

Newbie
May 17, 2019
5
0
What is your longterm plan? Don’t quite understand what you are trying to achieve by keeping your PR?
Eventually becoming a Canadian citizen. Work has just taken me back to the states and I've spent more time in the states than I inticipated I would be. So the plan is to get another 5-year period of PR and during that period (and any other relevant time that would count) become a citizen.
 

dpenabill

VIP Member
Apr 2, 2010
6,268
3,028
"So I believe that I can hit the 731 day requirement to renew PR status by Oct 2022."

"Date of landing is 16-June-2017. So as long as I am in Canada for 730 full or partial days before 15-June-2022, and my tax returns are in order, there should be no issue with maintaining PR status?"

These are not consistent. The latter is correct (based on date of landing 16-June-2017). If between 16-June-2017 and 15-June-2022 you have been in Canada at least 730 days, you will be in compliance with the PR Residency as of 15-June-2022.

"So the plan is to get another 5-year period of PR . . ."

BUT of course there is NOT "another 5-year period of PR." There is no renewal of PR status. (PRs can obtain a new PR card, typically referred to as "renewing" their PR card . . . but Permanent Resident status is "permanent" . . . unless and until status is terminated.)

To be clear, as of 15-July-2022, to still be in compliance with the RO you will need to have been IN CANADA at least 730 days between 16-July-2017 and 15-July-2022.

Likewise, IN Canada at least 730 days between 23-October-2017 and 22-October-2022.

A reminder: if at any time prior to June 16, 2022 you are absent from Canada a total of 1096 or more days SINCE June 16, 2017, as of the day your total absences exceeds 1095 days, then as of THAT DAY you will be in BREACH of the Residency Obligation.

Another reminder: if you are cutting-it-close (less than 900 or so days IN Canada within the relevant five years), the fact that you have been IN Canada 730 days within the preceding five years is technically enough to meet the RO and keep PR status BUT it will NOT assure that there will "be no issue with maintaining PR status." PRs who are cutting-it-close may be challenged to actually prove the days they have been physically IN Canada and many times are at least subject to non-routine processing (such as a referral to Secondary Review) when they apply for a new PR card, which can result in lengthy delays (ranging from a few months to a year or so) being issued a new PR card.

That said, if more than two years prior to the fifth year anniversary of landing you establish a primary residence in Canada, and thereafter travel back and forth often, as a U.S. citizen the odds are good you will NOT be challenged much about your compliance with the PR RO so long as you are NOT outside Canada for any particularly long period of time. That is, frequent absences but none exceeding more than, say, two or three weeks, and not otherwise longer than the period of time you are staying IN Canada, should be OK . . . but NOT, for example, any pattern that involves spending an amount of time IN Canada, between absences, that is LESS than the amount of time outside Canada during any given absence.

Note, regarding this, bottom-line is you meet the RO so long as you are (1) NOT absent for a total of 1095 days before 15-June-2022, and (2) as of any day after 15-June-2022, you are sure to have been IN Canada at least 730 days during the five year period prior to that day.

BUT if you are regularly going back and forth, and appear to be mostly settled in Canada, for purposes of how things go at a PoE, as an American citizen the odds are good there will be no problem even if you fall slightly short, even if you are traveling with an expired PR card . . . . On the other hand, when you make an application for a new PR card, best to be in full compliance AND by more than just 731 days within the preceding five years (and actually be settled in Canada).

I am a Canadian permanent resident and US citizen. PR status was granted after I had already moved back to the US. Canadian PR expires October 2022.

I have an opportunity to take an 18 month contract job which would allow me to be based anywhere (spending ~4 full and/or partial days/wk where I am based) but the role itself would involve about 50-75% travel to US locations. This role would be paid in USD, and I would receive a 1099 tax form (vs a W2).

So I believe that I can hit the 731 day requirement to renew PR status by Oct 2022. However my question is more along the lines of employment. Will the Canadian government care that I am working for a US company, being paid USD? I know my tax situation will be complicated and I will need to leverage a professional to make sure taxes on both sides of the border are properly filed, but as long as I have a physical presence in Canada for 731 days in the 5 year PR period, and taxes are properly filed, will anything else cause issues for renewing PR?
Understood - Date of landing is 16-June-2017. So as long as I am in Canada for 730 full or partial days before 15-June-2022, and my tax returns are in order, there should be no issue with maintaining PR status?
Eventually becoming a Canadian citizen. Work has just taken me back to the states and I've spent more time in the states than I inticipated I would be. So the plan is to get another 5-year period of PR and during that period (and any other relevant time that would count) become a citizen.
 

coolss

Newbie
Jul 24, 2019
6
0
So as far as i understand tax return filed in USA by him and not filed( or zero return filed) in Canada has no effect or renewal of PR card?
 

canuck78

VIP Member
Jun 18, 2017
52,969
12,771
So as far as i understand tax return filed in USA by him and not filed( or zero return filed) in Canada has no effect or renewal of PR card?
No but if your family lives in Canada she will be a resident for tax purposes and need to file both tax returns based on the tax treaty between US and Canada.