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Old 12-10-2014, 11:13 AM
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Join Date: Dec 2014
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US Contractor working in Canada

I am a US citizen who this year (2014) was hired by a US company [to keep things straight, let's call this "Company A"] as an independent contractor. I want to emphasize that I am not an employee of "Company" and I identified myself as a "1099 contractor" (although I don't remember completing an IRS W9 form from them).

"Company A" contracted me out to an Indian company (which we can call "Company B" and which does have a subsidiary in the United States) who then contracted me out to a Canadian company ["Company C"]. In fact, the only reason I took the contract with "Company A" is because of a particular project with the Canadian firm (Company "C") and most of my time working on the project I am in Canada.

I submit time sheets to both "Company B" and "Company C" in order to track my time on the project with "Company C" but I am paid by "Company A" (the US firm) in US$ based on monthly invoices I send them for my work. "Company A" does not take out any taxes in their payments to me. Moreover, I pay all of my expenses related to this engagement, such as flights to and from Canada, hotel stays in Canada, meals, etc.

My question is, how should I report my "income" from "Company A" on my tax returns?

My assumption is that it will be "regular" 1099-MISC income with my related expenses deducted but since my primary working location is in Canada (and with a Canadian firm), if this will further complicate matters.

But again, is this correct and, if not, how should I report my income and related expenses?

Or better yet, if I have several legal reporting options, which one is the most advantageous for me?



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