|
First of all - are you asking about filing your taxes for 2019? I assume you are, but be aware you are several years late. 1. No (assuming you are not a resident of the US in 2019 and we're talking about salary for services in Canada while you were a Canadian resident) 2. NEC is for US source income, should not apply to dividends from Canadian corps while you were not a US resident 3. How the gently caress should I know? I do this for a living and my firm licenses professional software 4. Not as a non-resident - you report your US source income only as a nonresident alien 5.I have no idea what you're talking about Just hire a qualified CPA/Tax professional to file your taxes.
|
#
?
Sep 18, 2022 03:52
|
|
|
|
| # ? May 10, 2024 06:18 |
|
|
I was mistaken with my date, can't keep anything straight anymore. I immigrated November 15 2021. 3) OLT seems to actually be able to help me. I'm refilling out everything I did on paper now to their scheme. Exact same information, but whatever at least it will let me efile. 5) idk how to even explain it. I get paid RSUs as part of my regular compensation. These RSUs are taxed as regular income. Every quarter I get some number of stock units released to me. I am required to sell-to-cover some amount of the vested stock to cover the income tax of getting the vest in the first place. The amount to be sold for this sell-to-cover is determined my marginal tax bracket rate as seen by the picture. In Canada my marginal income tax rate for both provincial and federal combined is 48%. In the US, I do not have a state income tax, and my federal is only 22% for 2021. Despite living in the US since November, all of my scheduled RSU vests since have still had my 48% Canadian income tax witholding applied which means I had sold significantly more stock than was necessary. And all of that money has disappeared for the moment; where I have neither the stock that was sold nor cash from the sale. Nobody can even help me with 5) here because it's so backwards rear end wrong regarding international stock tax. My only bet is that my company's stock admin team can help, since they did it wrong and I have the ticket numbers proving it. I just feel sick over it after I made such a point of making sure it wasn't wrong when I first got here. For my Canadian taxes, my accountants are stealing from me and think I owe them $15k Canadian for the worst service I've ever had to handle all of my deemed dispositions and departure taxes and bullshit tax scenario poo poo they scammed me into buying for winding up my old Canadian LLC. I still need to call them and argue over that bill which I've been neglecting. Paying more tax accountants to gently caress things up on my behalf isn't what i want to do. I need to understand this all myself anyway to make sure I'm not getting scammed again. Every time I trust anybody to do anything for me, I am let down. Methanar fucked around with this message at 05:28 on Sep 18, 2022 |
|
#
?
Sep 18, 2022 05:17
|
|
|
Your questions are far beyond free advice on the internet. Pay an accountant or go become an expert on Canadian and US taxes.
|
|
#
?
Sep 18, 2022 08:40
|
|
|
Nah. I guess you work for free?
|
|
#
?
Sep 18, 2022 09:49
|
|
|
Epi Lepi posted:become an expert on Canadian and US taxes. Trying my best to :/
|
|
#
?
Sep 18, 2022 17:18
|
|
|
You are so deep in the weeds here. Hire someone because you're never going to get this right. Prepare to spend close to a grand. (over or under.  ) Your time in Canada earning income from a Canadian company is taxable in Canada. If you left your Canadian employer before you left Canada and started at your US employer after arriving in the USA your life should be marginally simpler. Your rsu's are from the USA or Canada time? Did your rsu's actually pay dividends? Or are you making up a term to cover money you made selling the stock?
|
|
#
?
Sep 18, 2022 17:25
|
|
|
This is why I try to make as little money as possible.
|
|
#
?
Sep 18, 2022 17:38
|
|
|
H110Hawk posted:You are so deep in the weeds here. Hire someone because you're never going to get this right. Prepare to spend close to a grand. (over or under. https://www.fidelity.com/webcontent...s%20and%20fees. sell-to-cover isn't a made up term and fairly standard as a tax election when dealing with RSU grants. I did the right thing where my Canadian employment was terminated and then I left the country. So that's good at least. Well, the RSUs are denominated in USD, and my time in Canada and the US are actually working for the same company. But in Canada I was employed by the Canadian subsidiary. I have the exact same grants in the US as I originally did in Canada where I was initially hired. This continuity is why everything is all screwed up. idk. I'm just having a long string of bad weeks
|
|
#
?
Sep 18, 2022 18:50
|
|
|
Methanar posted:https://www.fidelity.com/webcontent...s%20and%20fees. Yeah rsu's and withhold to cover are very common. They aren't dividends though. In the USA they are ordinary income, in Canada they are who knows. And they're withheld at 22% not your marginal rate. And cross border. You very much need to hire someone. Your company is 99% likely to just say we cannot offer tax advice and you really need to hire someone before telling them authoritatively it's wrong.
|
|
#
?
Sep 18, 2022 20:43
|
|
|
No it’s definitely funnier if they try this on their own so keep plugging away
|
|
#
?
Sep 18, 2022 23:17
|
|
|
PatMarshall posted:Nah. I guess you work for free? ?? Who are you responding too?
|
|
#
?
Sep 19, 2022 03:09
|
|
|
Epi Lepi posted:?? Who are you responding too? You, it's a joke.
|
|
#
?
Sep 19, 2022 05:53
|
|
|
Methanar. I just don't like clients who refuse to pay their invoices and are convinced we're conspiring to cheat them. Never ends well. That said, Methanar, the reason we are being somewhat dismissive is that your tax issues are not easily resolved and will likely need input from a US tax advisor and also a Canadian tax advisor, both with experience in cross border tax issues. It likely can be resolved, though, it may just take a little time and money. Typically, if you are overpaying tax to the wrong jurisdiction (i.e., because someone didn't get the memo on your change in tax situation and withheld and remitted to the wrong tax authority), you can usually file a return and claim a refund. As to actions triggered by misunderstandings, like sales of shares to cover, that likely cannot be reversed post facto, but cleaned up going forward.
|
|
#
?
Sep 19, 2022 20:18
|
|
|
So from googling this notice, which is still what I get on Where's My Amended Return?quote:Your amended return was received on March 30, 2022. However, it has not been processed. We apologize for any inconvenience. It evidently just means "we haven't processed it yet due to COVID delay, sorry." I know that COVID has substantially delayed things at the IRS (like millions of unopened envelopes.) But is it uncommon for there to be this much of a delay?
|
|
#
?
Sep 19, 2022 22:19
|
|
|
KOTEX GOD OF BLOOD posted:So from googling this notice, which is still what I get on Where's My Amended Return? To make things worse, a lot of the amended returns appear to be getting processed incorrectly for any number of possible reasons (overworked staff, admin pushing to close cases quickly rather than accurately, Covid brain fog...). Sometimes the amended returns are closed out with no changes, other times the changes that were made don't match at all with what's on the amended return, and there's none of the usual account indicators that would explain why the changes don't match the return. There's also a new processing bottleneck with that loving fuel tax credit scam that thousands of dipshits saw on Facebook and decided to file for. All of those returns are being held first for identity verification and the auditing before the inevitable frivolous return filing letters go out to tell everyone who tried filing this to file a corrected return or eat a $5,000 fine. All of which is eating a lot of time and resources for various departments. You can call the toll-free line but if the WMAR's giving you that message there's likely not anything more we phone assistors could tell you other than "We're still experiencing delays, give it another 16 weeks."
|
|
#
?
Sep 19, 2022 22:59
|
|
|
[randy marsh voice] well that sucks. thanks though
|
|
#
?
Sep 19, 2022 23:31
|
|
|
quote:The releases you have shown below were subject to Canadian taxation because the award was granted to you while you lived in Canada. The shares that are released will continue to be subject to this taxation throughout the life of that award, but as with the previous vest dates, the taxation is prorated based on the time you were in Canada. As per the guidance we received on Canadian Tax Authority processes, the portion of income subject to Canadian taxation is equivalent to the number of Canadian workdays between grant and vest date. cool so I'm just going to keep being 48% taxed forever and the canadian government thinks its entitled to my income tax despite completely leaving the country entirely and not being a Canadian employee for any Canadian company anymore. This also has the effect of me needing to continue to file Canadian taxes at the end of the year and all of the misery that's going to cause to reconcile all of this foreign tax credit poo poo between the CRA and IRS. Every aspect of my life just makes me sick. Methanar fucked around with this message at 01:08 on Sep 20, 2022 |
|
#
?
Sep 20, 2022 00:59
|
|
|
Hey, at least you're not a US citizen, we are taxed in the US on our worldwide income and have to file US tax returns and disclosures no matter where we live, with draconian penalties for missed filings to boot!
|
|
#
?
Sep 20, 2022 02:47
|
|
|
Methanar posted:Every aspect of my life just makes me sick. I’m sure if you were a janitor earning $12/hour, your life would be nothing but rainbows and unicorns.
|
|
#
?
Sep 20, 2022 03:12
|
|
|
PatMarshall posted:Hey, at least you're not a US citizen, we are taxed in the US on our worldwide income and have to file US tax returns and disclosures no matter where we live, with draconian penalties for missed filings to boot! Between all the exclusions and credits and allowances you shouldn't actually owe anything until $200k at a minimum
|
|
#
?
Sep 20, 2022 03:25
|
|
|
sullat posted:Between all the exclusions and credits and allowances you shouldn't actually owe anything until $200k at a minimum You owe me a thousand dollars to prepare it.
|
|
#
?
Sep 20, 2022 03:54
|
|
|
PatMarshall posted:Hey, at least you're not a US citizen, we are taxed in the US on our worldwide income and have to file US tax returns and disclosures no matter where we live, with draconian penalties for missed filings to boot! sullat posted:Between all the exclusions and credits and allowances you shouldn't actually owe anything until $200k at a minimum Gabriel Grub posted:You owe me a thousand dollars to prepare it. BRB, telling Canada Post y'all are rummaging through my mail.
|
|
#
?
Sep 20, 2022 04:46
|
|
|
Missing Donut posted:I’m sure if you were a janitor earning $12/hour, your life would be nothing but rainbows and unicorns. I legitimately was happier when I did make $15 doing manual labour at a pulp mill when I was 18. I had friends at work instead of pages at 2 am telling me about how some database in Europe caught on fire. Now I just fantasize about taking a month off work to go instead take a part time job making pizzas in the backroom at pizza hut just for the fun of it.
|
|
#
?
Sep 20, 2022 05:06
|
|
|
all numbers here made up, I just want to make sure I understand something with regard to tax loss harvesting on capital gains: in tax year 2022 you have a $1 billion overall realized loss on capital gains. (to give an absurd example). in tax year 2023, you have a $10k overall realized capital gains. in each year, you have $100k other ordinary income how is the carried-forward loss applied to the 2023 capital gains for taxes? on one hand, you have basically infinite losses to carry forward. so the $10k could be entirely offset by that, no taxes to be paid on them. but I have also read that only $3,000 can be applied carry forward per-year to ordinary income. thus, you'd have a $3,000 deduction for the 2022 losses in every year going forward until you died (edit: and it would NOT fully offset the 2023 capital gains) which is correct? I think it's the latter? if it's the latter, it seems there's not a whole lot of benefit to ending the year with significant overall realized net losses, yes? to be clear this is to answer something for a family member with a terrible advisor, not for me edit: just read info elsewhere that leads me to believe it's the first case, where the prior year capital losses can be used to offset future capital gains in any year pmchem fucked around with this message at 02:02 on Oct 17, 2022 |
|
#
?
Oct 16, 2022 19:59
|
|
|
New thread title suggestion from the fedjobs thread:Alucard posted:Look man I get paid in money not in cum.
|
|
#
?
Oct 17, 2022 21:44
|
|
|
Lol so the IRS sent me this. Isn't that wrong? I mean, don't they owe me a check? Or is it that the amount they owe me will just be applied to next year's taxes?
|
|
#
?
Oct 17, 2022 21:59
|
|
|
KOTEX GOD OF BLOOD posted:Lol so the IRS sent me this. One possibility (which I'm just noting because it's happened on a lot of accounts) is that you had claimed $1,200 for the Recovery Rebate Credit as part of the original return, but it was disallowed because IRS records showed the IRS had issued the Economic Impact Payment that the RRC was being used to claim. Subtracting that on the original return would have caused a balance, but if the IRS was able to later verify you did not actually receive the EIP while processing your amended return, than the RRC would be restored, bringing things back to 0. You may have to call in or check your account transcript (which you might be able to get online or get mailed to you under the "Get my tax record" option at IRS.GOV) to get more details. *Payments from the IRS or other US Treasury agencies are administered by the Bureau of Fiscal Services, so sometimes IRS records indicate a particular payment was sent but without the BFS reporting a payment was returned (the bank rejecting a direct deposit, a check not being cashed after a year, or running a refund trace if requested by a taxpayer) the IRS has no way of knowing the taxpayer never actually received the payment. hosed up, I know. If the above scenario doesn't fit, there may be something else going on or it's also possible that someone simply hosed up the adjustment in processing your amended return. Been seeing a lot of those lately due to overworked/undertrained staff, Long COVID turning people brains to mush, or who knows what else.
|
|
#
?
Oct 18, 2022 03:51
|
|
|
It says the 'changes you requested' so if the RRC was removed from the original return due to a math error, and then he sent in the correct SSN or whatever and they restored it, that would be the result.
|
|
#
?
Oct 18, 2022 04:48
|
|
|
So the reason I filed the amended return in the first place is because the IRS never sent me the $1200 stimulus check, and instead sent me a letter in August of last year claiming they actually had sent the refund check but it expired. Also, I just looked at the 2020 return I filed and TurboTax left the RRC field blank. Unless I should look elsewhere on the return, I guess it's a screwup, but I don't know who to call about it without sitting on the phone for hours again. https://www.youtube.com/watch?v=73Ad66YGzJw
|
|
#
?
Oct 18, 2022 04:48
|
|
|
I'm on track to make too much money this year to contribute to a Roth IRA. Unfortunately, I had already contributed my max amount for 2022, and my wife is about 2/3 of the way herself. My CPA said that if things continue as they have for the year, we're either right in the phase out income range, or it's very likely we'll be over in general. I'm self-employed and my income / bonuses are variable and I did not see this coming this year. My CPA said we'll have to withdrawl that money from our Roths before the tax filing deadline, which I guess is fine as a last resort, but some back of the napkin math has me withdrawling that $6000 that is now costing me ~19% more than it did when I deposited it so I'm actually realizing a loss, sorta. I've read some vague stuff that it might be possible just to pay a 6% penalty on our contributions, does anyone know if this is actually true? If it's possible to just pay a 6% penalty on that contribution, and my wife's, I'd much rather do that, but I don't know if that's possible. Anyone have any good ideas for trying to lower my AGI from a LLC/business owner standpoint? I've already contributed my max to a SEP-IRA (I'll be able to contribute more if/when I pay myself a bonus out at the end of the year - but the bonus is just more money towards the AGI), I'm running out of ideas of spending money out of my LLC. I already have a PC and laptop I bought last year, I just got a new fancy desk and ordered a new cellphone. I'm kinda running out of things to realistically buy, and if I'm going to be over and screwed on the Roth IRA anyway I don't want to have a $1500 iPad Pro that I won't get a huge amount of use out of.
|
|
#
?
Oct 19, 2022 18:43
|
|
|
The 6% penalty will apply every year until you correct the over contribution. You take out the principal minus the gain/loss attributable to that investment. The IRS has a formula. Since your account is down, you're going to get back less than $6000.
|
|
#
?
Oct 19, 2022 18:52
|
|
|
Guy Axlerod posted:The 6% penalty will apply every year until you correct the over contribution. You take out the principal minus the gain/loss attributable to that investment. The IRS has a formula. Since your account is down, you're going to get back less than $6000. Can't they just put it right back in a traditional and backdoor it? Should end up right where they started.
|
|
#
?
Oct 19, 2022 21:15
|
|
|
KillHour posted:Can't they just put it right back in a traditional and backdoor it? Should end up right where they started. Yes, but a backdoor only works as advertised if there are no funds in traditional IRAs (including SIMPLEs and SEPs)
|
|
#
?
Oct 20, 2022 00:00
|
|
|
KOTEX GOD OF BLOOD posted:So the reason I filed the amended return in the first place is because the IRS never sent me the $1200 stimulus check, and instead sent me a letter in August of last year claiming they actually had sent the refund check but it expired. Unfortunately, as far as calling there aren't any shortcuts other than calling the usual toll-free line unless there's another number listed on the notice you received.
|
|
#
?
Oct 20, 2022 16:36
|
|
|
We're getting an insurance payout for a totaled car. They're giving us the car value, plus tax, plus transfer fees to "buy" it from us. Even though we're going to immediately turn around and spend every penny of this payout on a replacement car, is this considered taxable "income?" On one hand, we're getting money and the IRS always wants a portion of it. On the other, when you sell a house, I think you're only taxed on the profit you made on it. So I can see both ways.
|
|
#
?
Oct 20, 2022 21:03
|
|
|
Henrik Zetterberg posted:We're getting an insurance payout for a totaled car. They're giving us the car value, plus tax, plus transfer fees to "buy" it from us. Even though we're going to immediately turn around and spend every penny of this payout on a replacement car, is this considered taxable "income?" No. Unless you're somehow turning a profit.
|
|
#
?
Oct 20, 2022 21:04
|
|
|
H110Hawk posted:No. Unless you're somehow turning a profit. Great, that expands our budget a bit. Thanks!
|
|
#
?
Oct 20, 2022 21:06
|
|
|
Guy Axlerod posted:The 6% penalty will apply every year until you correct the over contribution. You take out the principal minus the gain/loss attributable to that investment. The IRS has a formula. Since your account is down, you're going to get back less than $6000. Thank you for the information!
|
|
#
?
Oct 21, 2022 01:11
|
|
|
I'm having a bit of trouble finding the answer to a question; hoping someone can help out. My parents are both retired, and they decided to cash out my mom's small retirement to pay off the equity loan and do some home improvements. The retirement account is taking its sweet time to value, close, and transfer the money, and in the meantime, the deck contractor needed his up-fronts, so I floated them about $19,000. Her retirement account is finally showing $0, so we hope the money's going to be in her bank account in the next day or two, after which they'll be paying me back. It doesn't look like Form 8300 applies because I'm not a business doing a transaction, and I know there's a tax-free gift limit of like $15-16k, but I'm not sure if that applies when it's not actually a gift, since they're paying me back. Is there any IRS-related stuff I need to worry about if I get a big deposit in excess of the gift limit? Should each parent just pay me half to stay under the limit?
|
|
#
?
Nov 1, 2022 02:06
|
|
|
|
| # ? May 10, 2024 06:18 |
|
|
No need to do anything. It's a loan not a gift. For tax purposes, the value of the gift is market rate interest on the loan you forgo, which in this case will be well under the annual exclusion.
|
|
#
?
Nov 1, 2022 03:01
|
|
