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I've been traveling the world on a Working Holiday visa, moving every 6 months or 1 year. I'm Italian. I now moved to Canada, first as a tourist, and recently I got a working holiday visa, for a total of 8 months.

I also work remotely for an Australian company that pays me in USD (I have an American bank account).

In which country do I pay my taxes?

Thanks a lot.

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  • If you're not a resident of any country, you generally pay tax as a nonresident in each country where you earned income, only on the income that you earned in that country.
    – phoog
    Commented Apr 7, 2018 at 1:59
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    I suggest a slightly different question: How do you find out what taxes you owe to each country? Each country has its own rules for deciding e.g. whether you are tax resident. Each has its own rules, given your status relative to that country, for determining what taxes you owe on which income. Rules may be affected by relevant tax treaties.
    – Patricia Shanahan
    Commented May 7, 2018 at 21:44

1 Answer 1

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Here is what Italy has to say: Italy deems you resident for tax purposes if you've stayed there at least 183 days in the past tax year.

You can click here to see if you've become a Canadian resident for tax purposes.

Canada generally goes by a date of December 31, so if you are resident here December 31, 2017, you would file taxes here for the 2017 tax year (by the deadline of April 30, 2018).

Note that you might need to be careful about health insurance. For example, in Canada, if you haven't become a resident, you won't qualify for the publicly-funded plans, but if you've ceased to be an Italian resident, you may have no benefits available to you from there. You'd need to secure insurance from a private insurer. (Such policies can be acquired by foreigners living in Canada temporarily, but typically aren't valid outside Canada. Source: am an insurance broker in Canada.)

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    Do you have any source to support your first assertion? That is certainly not how it works in any place I've ever lived in. The jurisdictions I'm familiar with define tax residence using criteria that make no mention of foreign tax residence, let alone of the acquisition of foreign tax residence.
    – phoog
    Commented Apr 7, 2018 at 16:53
  • europa.eu/youreurope/citizens/work/taxes/income-taxes-abroad/… If he's spent less than 183 days out of the previous 365 in Italy, it looks like he only pays tax on his Italian income in Italy, but that implies that he should pay tax in his main country of residence that year, too.
    – Jim MacKenzie
    Commented Apr 7, 2018 at 20:42
  • someone who spends ninety-some days in each of four countries does not have another main country of residence. The same could be true of someone who moves every 180 days if the threshold for tax residence is 183 days.
    – phoog
    Commented Apr 7, 2018 at 22:23
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    @phoog I don't think it's that simple. It'll depend on the country in which you were last resident. and that makes for some serious homework for the persont to conduct to figure out their tax situation.
    – Jim MacKenzie
    Commented Apr 7, 2018 at 23:01
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    @phoog I await your better researched answer.
    – Jim MacKenzie
    Commented Apr 8, 2018 at 2:21

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