Taxes!

[Wprandy]

I got my PR card last August. Filed taxes in the US. Paid thousands on my pensions and social security. I'm filing now in Canada and the tax preparer tells me I owe almost 6K more for that partial year! That would mean I'd be paying an extra 13K on top of my US taxes!! This is a mistake, right?

 

[scylla]

As someone with a dual citizen husband, Canada takes more in taxes than the US. So that part makes sense. My husband does his Canadian taxes first - then when he does his US taxes he claims the tax already paid to Canada and never ends up owing anything to the US.

 

[pie_vancouver]

There is tax treaty between Canada and other countries to prevent double taxation or provide relief in paying income tax, better contact CRA to know more!
http://www.cra-arc.gc.ca/cntct/prv/tstc/twts-eng.html

 

[Wprandy]

As someone with a dual citizen husband, Canada takes more in taxes than the US. So that part makes sense. My husband does his Canadian taxes first - then when he does his US taxes he claims the tax already paid to Canada and never ends up owing anything to the US.

I know Canada has a higher tax rate, but between the two, my tax rate would be 50%. All my income is US, so I can't have taxes deducted from my earnings to pay Canada first.

This is a nightmare.

 

[scylla]

I know Canada has a higher tax rate, but between the two, my tax rate would be 50%. All my income is US, so I can't have taxes deducted from my earnings to pay Canada first.

This is a nightmare.

Did you claim the taxes you paid in the US in your Canadian return?

 

[Wprandy]

Yes I did.