No you don't need to.
Check out PayPal Web Payments Pro Canada for a Canadian processor
Ask YC: Do we need to file/pay US taxes (Canadian corporation)?
21–24 of 24 posts
Re: Ask YC: Do we need to file/pay US taxes (Canadian corporation)?
#22Earlier quoted context omitted.
There is the 180 day rule, I'm not sure if it applies to you.
I don't know what 180 day rule you're talking of, but I'm very sure it did not apply. A US citizen is taxable in the US for world-wide income. (Though there is a nice tax break for money made as a foreign resident, and there are lots of double-taxation treaties with lots of countries.) I was in the bizarre situation of being a US citizen living in the US, going to a US school, being paid a scholarship from the Canadi…
> In short I was that bureaucratic nightmare called "an exception they don't have any forms for".
That can have it's advantages too :)
I misremembered by the way, it's called the 183 day rule (it's been a decade, apologies). Anyway ,here is some info on it, it seems that you may be exempted from Canadian taxes under that rules, because you are spending less than 183 days per year in Canada:
http://www.google.com/search?q=canada+taxes+183+day+rule
But maybe the specifics of the scholarship change that again.
Re: Ask YC: Do we need to file/pay US taxes (Canadian corporation)?
#23We just went through this. We decided to charge in USD. We have a lot of international users, and while people generally know where their own currency stands vis a vi the Greenback, we surmised that they wouldn't be nearly as familiar with where they stand against the Loonie. We initially went with the Canadian cc processor Moneris. They support recurrings, although their API support sux. Watch out too for the applic…
Thanks for the info (I'm one of the co-founders of PagerDuty). Which PayPal product are you using? Website Payments Pro? We'd like to chat with someone who's gone through the process of setting this up already. We are also trying to evaluate which provider to use. Can you please send me an email (alex [at] pagerduty.com)?
Done!
Re: Ask YC: Do we need to file/pay US taxes (Canadian corporation)?
#24Earlier quoted context omitted.
I don't know what 180 day rule you're talking of, but I'm very sure it did not apply. A US citizen is taxable in the US for world-wide income. (Though there is a nice tax break for money made as a foreign resident, and there are lots of double-taxation treaties with lots of countries.) I was in the bizarre situation of being a US citizen living in the US, going to a US school, being paid a scholarship from the Canadi…
> In short I was that bureaucratic nightmare called "an exception they don't have any forms for". That can have it's advantages too :) I misremembered by the way, it's called the 183 day rule (it's been a decade, apologies). Anyway ,here is some info on it, it seems that you may be exempted from Canadian taxes under that rules, because you are spending less than 183 days per year in Canada: http://www.google.com/sear…
The rule is (or at least was that that time) that a Canadian citizen receiving Canadian source income is always taxable in Canada.
However the sum was so small that I didn't owe any taxes on it. I still filed though.