Apologies in advance if this has already been covered in another thread!
My fundamental question is what options exist, beyond the three most commonly mentioned (contracting, EOR, establish branch of business in Canada), for working remotely from Canada for a US company? More detail below.
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A US based company has offered me a 2 year contract for a full time position, as a manager of people, in technology role (the company is not a tech company, but the position is). The position allows me to work remotely, with occasional travel to the US (~a month a year).
However, after extending me the offer and starting the HR process, the company realized they were not set up to employ someone residing in Canada. Their HR, accounting team, and lawyers researched options to employ me, but in the end, the owners of the business were not comfortable with any of these options due to tax risks.
Here is my situation:
The EOR option (#2) seemed to make sense, but in the end made the company owners uncomfortable because of potential tax liability stemming from risk of "permanent establishment". The company is private, and owned by 10 or so very wealthy people whom I assume do not want any more tax scrutiny than needed. The company is also in the midst of a multiyear process of changing hands.
Option #3, establishing a branch in Canada was too expensive and time consuming for them to warrant for hiring a single employee.
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Are there other options? This job is more or less my dream job, so I'm trying to exhaust all possibilities. How about something with an H1B be? Does anyone out there know of any other creative solutions that would work without exposing the owners to tax risk?
Thank you for any ideas!
My fundamental question is what options exist, beyond the three most commonly mentioned (contracting, EOR, establish branch of business in Canada), for working remotely from Canada for a US company? More detail below.
---
A US based company has offered me a 2 year contract for a full time position, as a manager of people, in technology role (the company is not a tech company, but the position is). The position allows me to work remotely, with occasional travel to the US (~a month a year).
However, after extending me the offer and starting the HR process, the company realized they were not set up to employ someone residing in Canada. Their HR, accounting team, and lawyers researched options to employ me, but in the end, the owners of the business were not comfortable with any of these options due to tax risks.
Here is my situation:
- I am a US citizen (SSN, etc.)
- I am a Canadian citizen (just waiting to do oath swearing ceremony)
- I reside in Canada (B.C.)
- I maintain a mailing address in the US
- Contractor
- Use an EOR
- Establish a branch of the company in Canada
The EOR option (#2) seemed to make sense, but in the end made the company owners uncomfortable because of potential tax liability stemming from risk of "permanent establishment". The company is private, and owned by 10 or so very wealthy people whom I assume do not want any more tax scrutiny than needed. The company is also in the midst of a multiyear process of changing hands.
Option #3, establishing a branch in Canada was too expensive and time consuming for them to warrant for hiring a single employee.
---
Are there other options? This job is more or less my dream job, so I'm trying to exhaust all possibilities. How about something with an H1B be? Does anyone out there know of any other creative solutions that would work without exposing the owners to tax risk?
Thank you for any ideas!