Re:YouTube tells foreign creators they will soon be charged ...
by gruez on Wednesday March 10, 2021 @12:14PM
(#26413564)
>The HUGE issue with that is that my country (Canada) only gets $10 for things like healthcare and social programs while the US gets $15 for doing exactly nothing. So it might not make a difference in terms of the money in my bank account, but it's detrimental to me in terms of a lack of funding for government services.
From my previous comment:
>(presumably the tax treaty also contains provisions for your country to net out the difference with the US).
either that or both countries figured that it mostly cancels out so they don't bother netting it out.
Re:YouTube tells foreign creators they will soon be charged ...
by sudosysgen on Wednesday March 10, 2021 @07:05PM
(#26418343)
That presumably is doing a huge amount of work.
This is what Intuit says for that type of income:
> If taxes were deducted from your income, you can claim those taxes as if you paid them to the CRA. Because you have a duty to report all your U.S. income on your Canadian return, the income is deemed taxable as Canadian income. The usually lower U.S. income tax rate could leave you with an amount owing for the difference between the United States and Canadian income tax rates.
So, just for the sake of an example, say I make $100, US income taxes are 15%, and Canadian income taxes are 25%. The way I understand it, I pay $15 in US tax. That's calculated as if I paid it to the CRA, so now I only owe them $10 to make up the difference.
The HUGE issue with that is that my country (Canada) only gets $10 for things like healthcare and social programs while the US gets $15 for doing exactly nothing. So it might not make a difference in terms of the money in my bank account, but it's detrimental to me in terms of a lack of funding for government services.