Forgot to report US internship income on Canadian return
I’m looking for some guidance on how to fix a Canadian tax mistake involving U.S. internship income.
While I was in university, I worked in the US for multiple nternships in 2024 and 2025. I filed and paid taxes in the US. My dad pays a CPA to do our family's tax returns and the CPA just files my return every year with the info my dad provides. I did not provide the CPA with my foreign income. I didn't realize I needed to as I've never filed my own taxes before.
The amounts were approximately:
- 2024: $90K USD US income
- 2025: $50K USD US income
I paid approximately:
- 2024: $20k USD in US taxes
- 2025: $10k USD in US taxes
I now understand that I should have reported the US employment income on my Canadian return and then claimed foreign tax credits for eligible US taxes paid.
I want to correct this properly before CRA contacts me. My questions are:
- Should I file a Voluntary Disclosures Program application, or is it enough to simply amend my 2024 and 2025 T1 returns through CRA My Account?
- Does the fact that I was a student/young and genuinely misunderstood the reporting requirement help with penalties?
- Can I submit the VDP application myself, or is this something I should definitely hire a cross-border CPA/tax lawyer for?
- Is there anything specific I should include in the explanation to CRA?
Any advice from people who have dealt with this, especially cross-border Canada/US tax issues, would be appreciated.