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Is the U.S. Cares Act Payment Taxable Income to U.S. Citizens living in Canada?

Canada U.S. Cares Act
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Dan Gordon
Regarding the US taxes those payments are suppose to be not taxable but I am not privy to Canadian tax law you would have to contact someone in Canada.
Leave a Comment 181 weeks ago

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John Richardson
The US $1200 payments under the CARES Act and Canada’s CERB payments were designed to fulfill the same purpose. Specifically, that purpose was to get relief money into the hands of individuals who were suffering from the the COVID-19 pandemic. It appears that payments were made generously with few qualifications for receipt of payments. The qualification appears to have been that an individual was a tax resident of the country. The $1200 CARES Act payment and the CERB payment were to fulfill the same function. Therefore, it would seem logical that both the CERB and CARES Act payment should be taxable in each country or neither payment should be taxable in the country. But, different characterizations of the payments appear to lead to different results. Read this article: www.taxconnections.com/taxblog/us-citizens-living-in-canada-will-not-pay-us-tax-on-1200-us-cares-act-payment-but-likely-will-pay-us-tax-on-canadas-cerb-payment/
Leave a Comment 180 weeks ago

 

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