December 13th, 2005
|beyondthebath||07:58 pm - Paying Taxes? Travelling to Cuba?|
If an American citizen is in Canada, legally, and is a landed immigrant or a permanent resident - or heck, even in on a student visa, is it illegal for them to travel to Cuba? My thoughts are that you're still an American citizen, and in the US, travel to Cuba is restricted...so no go.
Okay - questions about taxation: A friend told me that once you're a US citizen, you cannot renounce your American citizenship...and that if you're granted Canadian citizenship, you'll have dual citizenship. That, in and of itself, I don't have a problem with...but I have a question about taxes: depending on my status, I know that if I'm living & working in Canada, I'd have to pay Canadian Income tax, but would I still have to pay US income taxes as well? I can see the point of paying Canadian income taxes, as I'm living & working in the country...but if I have permanent residency, would I still have to pay US income tax? My friend tells me that regardless of my dual citizenship that I would still be regarded as an American working abroad, and as such, I'd still have to pay US income taxes, even if I have Canadian citizenship, live & work in Canada.
american's can't legally go to cuba unless they have a permission slip from the principal, or something...
if you take canadian citizenship, in most cases you will lose your american citizenship, unless you have special circumstances (working in both countries on a regular basis, living in both countries on a regular basis, etc). In that case, you wouldn't have to pay american taxes. Not sure about the dualies tho. I'm pretty sure that you're only taxed on the money you make in the country that's taxing you. So, if you're a dual cit, and make all your money in canada, you only have to pay to the canadian govt. now, the way to do it is be a dualy, make your money in the states, pay US taxes, and get the canadian health care. :-)
Somebody correct me on anything I'm wrong about, but I believe that's how it is.
|Date:||July 31st, 2006 04:11 am (UTC)|| |
I have just married a Canadian and we are preparing to move from the states to Toronto and I had the same issues. You will have dual citizenship but you do not pay American taxes as long as you will be living in Cananda. Once you move back to the states you will resume paying taxes in the states and none in Canada. I hope this is all making sense... If you need anymore help I can try to help you the best that I can. Good luck and dont stress.
You usually have to file a US tax return if you're American, though since taxes here are higher you're unlikely to have to pay anything more. There are a lot of agreements about taxation between the two countries.
You can, however, renounce your US citizenship -- just go to a consulate (outside the US) and tell them you want to do it and sign some forms and stuff.