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View Full Version : British Citizen Holding G4 in the US, working ALSO as a consultant in Canada


egv01
Jun 26, 2009, 06:11 PM
Facts:

- British citizen
- Working as of today in the United States for 2.5 years under a G4 visa, as a consultant for the world bank. No taxable income due to exempt for multilateral organizations.
- Since June 2009 working ALSO as a consultant for a law firm in Ontario, Canada. The company requested a working permit for that consulting effort and has been approved. Travel frequently to Ontario to perform the work there. Being paid in Canada for that effort (probably, has not been established yet, probably could be paid in the U.S. since the law firm has offices in the U.S.).
- Previously (2004-2005) hold an F1 visa while studing in the US. Paid taxes for scholarship for the first year (got refund taxes). Only time I paid taxes in the U.S.
- Having residence in Washington, DC (rental)
- Thinking about having residence (renting an apartment) in Toronto, ALSO.
- I will not abandon completely my Washington DC residency since my fiance and I share an apartment there (lease under both names), and I plan to spend at least 10 days every month in DC.
- Travelling a lot for both jobs, to Afghanistan, London, and South America (at least three months per year I will not be neither in Canada nor in the U.S.)
- It is highly probable that they will deduct income taxes in Canada thorugh the payroll.

Question: Do I have to pay taxes in the U.S. for the work in Canada? Do I have to pay taxes in the U.S. if paid in Canada for the work performed there? what if I am paid in the U.S. for the work performed in Canada?

Please advise, I am lost!! Thanks a lot.

AtlantaTaxExpert
Jun 29, 2009, 07:30 AM
Clearly the income earned for the G-4 job is exempt from taxes under U.S. law.

The income earned from the second job is probably taxable under Canadian law, but I cannot comment for sure on that, as I have little experience with Canadian tax law.

As a G-4 visa holder, you are considered to be a non-resident alien, which means income earned OUTSIDE of the U.S. is NOT subject to U.S. taxes, so it would appear that as long as the work is done outside of the confines of the U.S. no U.S. taxes are due.