Thanks for asking your question! I'm sorry to hear about your tax issue and I'm going to try my best to help you understand or resolve it.
Hello, and thank you for using JustAnswer.com. While it's true that the US and Canada have a tax treaty, you have income generated from activity in the United States
. Therefore, you have a tax liability
to the United States for this activity. You still need to file a 1040 NR and claim this income, even if you have a net loss each year.
Since the income is generated in the United States, you will owe tax there and the treaty benefits
will come on your Canadian return
. I suggest you find a CPA or EA - or professional in your country - who specializes in Canada/US tax returns
I am sorry if this is not optimal in your situation. Please feel free to contact me back if you need any additional information.
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