Self-employed, Canadian resident, working in Barbados
Helping a friend with his taxes.
He works as a management consultant in Barbados, but is considered a Canadian resident, for an American Company.
Spousal income zero. Pays for a nanny in Barbados (around $11,000 per year); can you also claim expenses he incurred in Barbados for his employment i.e. vehicle (business portion), etc. Would the nanny fees be a business expense (straight-up expense) or what he would pay for the purpose of work (deduction)?
Can he claim an Overseas Employment Tax Credit? Are there any other credits I can claim for him since he's overseas?
Also, does he still have to contribute to CPP? Income under $20,000 and it's showing he needs to contribute to CPP, which amounts to a net owing.