Retro Pay

[NM2428 12]

I am Canadian waiting for my conditions to be removed.  Out of the blue, I got an e-mail from the school board I had worked for before leaving Canada.  It turns out the past and present employees are eligible for retro pay of some kind and I qualify.  Are there any issues foreseen with this, or advice?  Other than claiming it on our taxes.  I m not sure of the amount at this point, so it may not be substantial.  I just thought I would ask ahead of time so that I am in the know. 

[Rusty72 68]

1 hour ago, NM2428 said:

I am Canadian waiting for my conditions to be removed.  Out of the blue, I got an e-mail from the school board I had worked for before leaving Canada.  It turns out the past and present employees are eligible for retro pay of some kind and I qualify.  Are there any issues foreseen with this, or advice?  Other than claiming it on our taxes.  I m not sure of the amount at this point, so it may not be substantial.  I just thought I would ask ahead of time so that I am in the know. 

Don't know what kind of issues you'd expect. Canada will probably want their taxes is all I see

[NovaSprings 89]

You will need to file a us income tax, with foreign income for tax year 2018.  I would recommed that you contact the Canadian employer and ask them to take "non resident" income tax...which is usually a flat rate 25%. I am in a situation where my pervious employer took 35 % and now I am fighting to get the 10% back from CRA.

When you file your 2018 with the IRS, the Canadian income tax will most likely out weigh the US tax owed even with the exchange.

[NM2428 12]

20 hours ago, NovaSprings said:

You will need to file a us income tax, with foreign income for tax year 2018.  I would recommed that you contact the Canadian employer and ask them to take "non resident" income tax...which is usually a flat rate 25%. I am in a situation where my pervious employer took 35 % and now I am fighting to get the 10% back from CRA.

When you file your 2018 with the IRS, the Canadian income tax will most likely out weigh the US tax owed even with the exchange.

Ok, Thank-you so much.  I will contact them right away and make this request.