US citizen living in Canada (Canadian Permanent Resident) and working in US

World International

Published

If you are US citizen and live in Canada as a Canadian Permanent Resident, but work across the border in the US, do you pay taxes on your US income to the US and Canada?

I pose the question because it may be a possibility for me in the near future. My partner is foreign and I cannot sponsor him here in the US, so I may be applying to immigrate to Canada for permanent residence as an RN (I have my BSN) and sponsoring my partner in Canada as my spouse, where we can legally marry.

I would work in Canada, of course, for a while, but I would certainly miss the higher US salaries. If there any way to maintain employment in the US and still live in Canada without getting hit up twice for taxes (because if I pay double, there is no benefit).

The scenario would be me living in say abbotsford, BC and working in bellingham, WA or something like that. I would be an American citizen so there would be no problem with crossing the border everyday or getting a social security number, etc. I just wonder about taxes.

Any takers?

Thanks.

Up Vote Up Vote ×

I don't know if it would even be worth it. In my experience, the pay in Washington state isn't that different from BC unless you are doing agency or travel nursing.

Have you asked Canadian immigration about this? They are really the only ones who could tell you the answer. I don't believe you pay double because the US and Canada have a tax agreement. I've never paid double taxes and have lived in the US and Canada in the same year (though I was always living and working in the same country at the same time)...

Up Vote Up Vote ×

Well, according to salary.com the pay for a staff RN in Bellingham, WA is between $ 55, 475 to $ 66, 089 USD. That would come out to $ 63, 757 to $ 75, 965 CAD. That would be alot more money compared to the pay for a general duty registered nurse in British Columbia, according to the CFNU Collective Bargaining Agreement of 2006 which lists salary at $ 47,900 to

$ 62,878 CAD, which is $ 41, 672 to $ 54, 716 USD. It would seem working in the US would be advantagous if you weren't required to pay double taxes. The exchange rate helps alot. Am I wrong?

Also, I wanted to know if you are allowed to work at more than one hospital at a time in Canada? I know it sounds like a dumb question, but I figure they may have restrictions due to their rationed healthcare system dollars. Like i in the US, I could work 36 hours at one place and 24 to 36 hours at another, which I have done. ???

Thanks.

Up Vote Up Vote ×

You can work at more than one facility in Canada at the same time. Many nurses in Toronto and Vancouver in particular do that. It sometimes isn't worth it though if you can just pick up a lot of extra hours at one job because doing that you get time and a half (rather than getting regular time at 2 jobs).

I just don't know if the money is a real difference because I find the exchange rate doesn't really help that much, especially now that the Canadian dollar is worth over 80 cents US. When you consider the extra time and cost to go to Washington, I don't know how much better off you'll be. I'm not a big fan of salary.com because you don't need to know the average, you need to know what YOU will make. Nurses in BC start around $26 Cdn an hour (about $21 US), in some Washington hospitals they start around $22 US an hour. That's not a big enough difference to make up for the gas money. The pay rate for someone of your experience level is what really matters. The "average" that salary.com is quoting you could very well be including agency or travel nurses who generally get higher wages than staff since they are refered to as "staff rns" at times just to mean they aren't in management. The numbers can also be out of whack if they are taking more part time workers into account in one area or more workers who do OT, etc.

Up Vote Up Vote ×

Thanks so much for all the helpful info. I think your right about it not being worth it. I might as well take upon two jobs over in BC then take the time to work in washington. I don't like the prospect of picking up extra hours because it is risky if you want a reliable amount of income every month, which two regular jobs would give you. I am big on security...

Thanks.

Up Vote Up Vote ×

Well, good luck. I get what you're saying about guaranteed hours. One other possibility is to take a travel assignment in Washington state. A friend of mine has done this before. She spends 6 days working in Washington, then a week at home. It pays better than a staff job in BC for her and she keeps her casual position in a Vancouver hospital.

I hope everything works out and that you have a beautiful wedding with your partner:)

Up Vote Up Vote ×
Thanks so much for all the helpful info. I think your right about it not being worth it. I might as well take upon two jobs over in BC then take the time to work in washington. I don't like the prospect of picking up extra hours because it is risky if you want a reliable amount of income every month, which two regular jobs would give you. I am big on security...

Thanks.

I know a lot of people live in Windsor and work in Detroit. Living in Windsor is safer and money-saving.

US should have tax treaty with Canada. You probably need to pay US tax first, then pay the difference to Canada, since I believe Canada has a higher tax rate than US. I know some people with Canadian PR work in the States, they don't pay any Canadian tax if they do not live in Canada, and only paying the difference when they claim as Canadian Residents.

Up Vote Up Vote ×
If you are US citizen and live in Canada as a Canadian Permanent Resident, but work across the border in the US, do you pay taxes on your US income to the US and Canada?

hello, i am no accountant nor do i claim to be knowledgeable in this field, BUT since i have had the unfortunate experience of dealing w/ the tax man... from what i was told, US citizens are taxed based on their citizenship; so if you are a US citizen living in Canada you have to pay US taxes... if one does not work in Canada, i was also told that i "shouldn't" have to pay Canadian taxes. Canadian taxes are supposedly based on residency. all this was explained to me by an accountant (CA). please ask a tax proffessional if you are unsure. good luck. -*this is a non-proffessional tax person' s opinion, i reserve the right to be wrong.*-

Up Vote Up Vote ×
I know a lot of people live in Windsor and work in Detroit. Living in Windsor is safer and money-saving.

US should have tax treaty with Canada. You probably need to pay US tax first, then pay the difference to Canada, since I believe Canada has a higher tax rate than US. I know some people with Canadian PR work in the States, they don't pay any Canadian tax if they do not live in Canada, and only paying the difference when they claim as Canadian Residents.

I know of several people who either live in Windsor and work in Detroit or live in Fort Erie and work in Buffalo and you are right there is a tax treaty between the two countries, you pay US tax through your employer and claim this on your Canadian taxes and pay the difference to the Canadian taxman. If you are living in Canada you do get the benefits accorded to Canadian residents/citizens and so you should be paying something to the Canadian tax (my opinion). It does mean filing two tax returns!:eek:

Up Vote Up Vote ×

Please look at the thread about US/Canada tax. I just read an article about the taxation question that may help.

Up Vote Up Vote ×
+ Add a Comment