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| *The Commerce Journal>>>Canada Taxes |
Canadian freelancing for American company - how do I claim this? |
I'm Canadian and have been doing freelance web design and consulting for an American company. I send them invoices and they cut me cheques. Do I have to pay taxes in the US for that? Do I pay tax in Canada on that? Who do I pay and how do I claim this? are you working as an incorporated employee? canada are you working as a leased employee? american if you are a resident of canada, then you might be an incorporated employee since it is straight invoice and straight cheque, you might just qualify for incorporated employee status if that is the case and there were no deductions for 1. provincial income tax 2. federal income tax - canada or federal 3. canada penison 4. employment insurance then the answer to the question about payment of taxes in the USA or Canada is that there are no taxes owing HOWEVER, IT IS IMPERATIVE TO DETERMINE BY YOUR CONTRACT FOR SERVICES WHAT STATUS YOU TRULY ARE hope this helps you first link goes to a CRA bulletin talking about shareholder loans and employment loans - the employment loans are applicable to incorporated employees second link goes to a financial corporation that caters to incorporated employees third link is to a website to upgrade your knowledge on money keeping this in mind - an income is a benefit enjoyed or received - debt is not an income - employment loans are not income, therefore not taxable - money techinically speaking is evidence of debt fourth and fifth link goes to the sites for the information below Bank of Canada Act B-2 http://lois.justice.gc.ca/en/b-2/220710.... An Act respecting the Bank of Canada Preamble WHEREAS it is desirable to establish a central bank in Canada to regulate credit and currency in the best interests of the economic life of the nation, to control and protect the external value of the national monetary unit and to mitigate by its influence fluctuations in the general level of production, trade, prices and employment, so far as may be possible within the scope of monetary action, and generally to promote the economic and financial welfare of Canada; NOTE ISSUE Sole right of note issue 25. (1) The Bank has the sole right to issue notes and those notes shall be a first charge on the assets of the Bank. Distinction (6) Notes of the Bank are neither promissory notes nor bills of exchange within the meaning of the Bills of Exchange Act. R.S., 1985, c. B-2, s. 25; 2001, c. 9, s. 198. http://www.bankruptcycanada.com/bankrupt... Dictionary of Canadian Bankruptcy Terms (updated: March, 2006) Charge: An encumbrance, lien, or financial obligation that is attached to some property. For example, a person who files a lien against a piece of property might say that he has a charge against that property. Source(s): http://www.cra-arc.gc.ca/e/pub/tp/it421r... http://www.graycliff.org/index.html...... http://www.moneyasdebt.net/ http://lois.justice.gc.ca/en/b-2/220710.... http://www.bankruptcycanada.com/bankrupt... |
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I'd suggest that you figure it out both ways and then determine which way is better. It really depends on why you have a refund.If it is because you've paid too much tax, then in sp... You first have to multiply the cost of the item times the sales tax. For example item cost $21.00 and the sales tax is 6% you would then mulitply it like this.. 21.00 x 0.6 = 12.6 or 21.00... No. If the company regularly ships to canada then they have already paid a broker to make sure their product is properly labelled and up to snuff, etc. Source(s): ... Hi: You will see 3 deuctions. 1 - Federal and provincial income taxes (CIT) (in Ontario it will be about 23 %). 2 - Canada Pension Plan (CPP) (about $ 35 per week if you earn more than ... There were some changes to the Visitor's Rebate Program. In most cases, you will no longer be eligible. Check this link from CRA: ... Best consult salesman. good luck Source(s): --... you should go to Employee Self Service and check the pay related information. Source(s): ... None that I know of but if you receive a check and are required to wire a portion of it somewhere else, it is definitely a SCAM.... |
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