E-file American Expatriates in Vancouver or Canadians Doing Business in USA
Clearly Accounting is an authorized US tax filer with staff holding the Certified Public Accountant designation from the State of Washington (CPA•WA) which means if you are an American currently living in Vancouver, we can file your income taxes in both the US and in Canada on your behalf. We will ensure that you are compliant with the tax rules in both countries so you can avoid costly penalty fees and double taxation. Our services may even save you money by reducing the taxes you owe in both countries.
Catching up on your US taxes may not be as hard as you think. Did you know:
- Earned Income Exclusion: You may be able to shelter nearly $100,000 of Canadian earned income from US tax. To claim this exclusion, you must be a bona fide Canadian resident or have been living in Canada for at least 330 days in the last year.
- Treaty Benefits: Generally, treaty benefits are not available to U.S. citizens except for Social Security payments. Basically, if you receive Social Security benefits from the U.S., they are only taxable in Canada. You may claim a 15% deduction on Line 256 of your Canadian tax return.
- Foreign Tax Credit or Deduction: Another way to avoid paying taxes twice is by claiming a foreign tax credit on your U.S. return for taxes you are required to pay to Canada or vice versa, depending on where the money was earned and taxed.
- Filing Deadline: If you live in Canada, you have an automatic extension of two months to file your U.S. tax return (due on June 15 rather than April 15 each year). However, the IRS will begin assessing interest on any unpaid balances on April 15th without penalties. This provides time for you to complete your Canadian return and determine your tax liability. This is needed in case you have to claim the foreign tax credit on your U.S. return. Similarly, if you are doing business in the US, Canada’s CRA gives you a break.
If you are an American living in Canada or you are a Canadian doing business or investing in the United States, let us help you!