Comments on: Becoming A Non-Resident & Taxes http://blog.taxresource.ca/becoming-a-non-resident-taxes/ Canadian Tax Help & Financial Planning Resources Sun, 12 Feb 2012 02:53:18 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: non residenthttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9558 non resident Fri, 04 Feb 2011 17:51:56 +0000 http://blog.taxresource.ca/?p=773#comment-9558 Hello, Thanks for your reply. You mentioned following in one of your answers to someone:"you should either be filing a return annually declaring and paying tax on your net rental income only or your tenant should be withholding and remitting 25% of the rental income to the CRA (Option 1 is probably better)."Could you please tell me what is the procedure of reporting net rental income if you choose option 1 above? Who would do NR4, NR6 etc?Thanks Hello,
Thanks for your reply.
You mentioned following in one of your answers to someone:

“you should either be filing a return annually declaring and paying tax on your net rental income only or your tenant should be withholding and remitting 25% of the rental income to the CRA (Option 1 is probably better).”

Could you please tell me what is the procedure of reporting net rental income if you choose option 1 above? Who would do NR4, NR6 etc?

Thanks

]]> By: Tax Guyhttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9547 Tax Guy Wed, 02 Feb 2011 19:37:42 +0000 http://blog.taxresource.ca/?p=773#comment-9547 My answer is still the same. Assuming you ceased to be a resident in August 2009, you would only be liable for Canadian income tax one worldwide income up to the point to ceased to be a resident.The 183 day rule applies to people who are not already factual residents. If you were a factual resident before August, then the 183 rule does not apply. My answer is still the same. Assuming you ceased to be a resident in August 2009, you would only be liable for Canadian income tax one worldwide income up to the point to ceased to be a resident.

The 183 day rule applies to people who are not already factual residents. If you were a factual resident before August, then the 183 rule does not apply.

]]> By: non residenthttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9544 non resident Wed, 02 Feb 2011 06:38:01 +0000 http://blog.taxresource.ca/?p=773#comment-9544 Hello, I am rephrasing my question that I asked before. Please let me know if I am correct or not. If I get employment in a country that doesn’t have tax treaty with Canada and I become non resident on e.g Aug 2009. I have Canadian income for 8 months (Jan-Aug) and 4 months (sept-dec)foreign employment income after moving from Canada. Because I live in Canada for 2009 tax year more than 183 days therefore for the 2009 tax year, I have to report Canadian and foreign income. I read some where that before moving from Canada, if you lived more than 183 days in a tax year, you will be considered resident for that year only so I need to report my Canadian and foreign employment income both. Is it correct? Hello,
I am rephrasing my question that I asked before. Please let me know if I am correct or not.
If I get employment in a country that doesn’t have tax treaty with Canada and I become non resident on e.g Aug 2009. I have Canadian income for 8 months (Jan-Aug) and 4 months (sept-dec)foreign employment income after moving from Canada. Because I live in Canada for 2009 tax year more than 183 days therefore for the 2009 tax year, I have to report Canadian and foreign income. I read some where that before moving from Canada, if you lived more than 183 days in a tax year, you will be considered resident for that year only so I need to report my Canadian and foreign employment income both. Is it correct?

]]> By: Tax Guyhttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9540 Tax Guy Tue, 01 Feb 2011 18:40:43 +0000 http://blog.taxresource.ca/?p=773#comment-9540 The date you cease to be a resident of Canada, you will be considered to have sold all of your worldwide assets at FMV (excluding certain property). You pay tax up to that date and no longer. The date you cease to be a resident of Canada, you will be considered to have sold all of your worldwide assets at FMV (excluding certain property). You pay tax up to that date and no longer.

]]> By: non residenthttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9537 non resident Tue, 01 Feb 2011 10:25:16 +0000 http://blog.taxresource.ca/?p=773#comment-9537 Hello, If I get employment in a country that doesn’t have tax treaty with Canada and I become non resident on e.g Aug 2009. I have Canadian income for 8 months (Jan-Aug). Do I have to report foreign income of the remaining four months (Sept – Dec) of the year when I file the tax return for 2009? Hello,
If I get employment in a country that doesn’t have tax treaty with Canada and I become non resident on e.g Aug 2009. I have Canadian income for 8 months (Jan-Aug). Do I have to report foreign income of the remaining four months (Sept – Dec) of the year when I file the tax return for 2009?

]]> By: Tax Guyhttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9399 Tax Guy Mon, 17 Jan 2011 19:13:47 +0000 http://blog.taxresource.ca/?p=773#comment-9399 Whether you are a resident of Canada is a question of fact: You either are or are not a resident of Canada. There is no "declaration."Take a look at <a href="http://blog.taxresource.ca/living-abroad-becoming-a-non-resident/" rel="nofollow">Living Abroad And Becoming A Non-Resident</a> as well as the comments by Cross Border tax on that page. Whether you are a resident of Canada is a question of fact: You either are or are not a resident of Canada. There is no “declaration.”

Take a look at Living Abroad And Becoming A Non-Resident as well as the comments by Cross Border tax on that page.

]]> By: S Ahmedhttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9397 S Ahmed Mon, 17 Jan 2011 18:25:06 +0000 http://blog.taxresource.ca/?p=773#comment-9397 I'm living with my wife and kids abroad for almost last 2 years and visited canada during this period only once for 2 weeks. I have home in Ontario rented and managed by Property managment company. I have bank account in Canada, driver license and canadian passport. I have not declare my non-residency yet and have not filed income tax for last two years. Is it advisable to declare the non-residency now? Is there any problem I would face in non-residency declaration? Is there any other thing I should do before declaring non-residency? Please advice. I’m living with my wife and kids abroad for almost last 2 years and visited canada during this period only once for 2 weeks.
I have home in Ontario rented and managed by Property managment company.
I have bank account in Canada, driver license and canadian passport.
I have not declare my non-residency yet and have not filed income tax for last two years.
Is it advisable to declare the non-residency now? Is there any problem I would face in non-residency declaration? Is there any other thing I should do before declaring non-residency? Please advice.

]]> By: Tax Guyhttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9238 Tax Guy Fri, 31 Dec 2010 21:07:42 +0000 http://blog.taxresource.ca/?p=773#comment-9238 I can’t really answer your question except to say that he will need to establish whether he was a resident of Canada for 2009, 2010 and 2011. You’ll have to establish whether you are a US filer.Even if you have to pay tax in both countries, you may have to establish where the closer connection lies and then you pay tax in that jurisdiction.You should seek professional help. I can’t really answer your question except to say that he will need to establish whether he was a resident of Canada for 2009, 2010 and 2011. You’ll have to establish whether you are a US filer.

Even if you have to pay tax in both countries, you may have to establish where the closer connection lies and then you pay tax in that jurisdiction.

You should seek professional help.

]]> By: Skibanffhttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9224 Skibanff Wed, 29 Dec 2010 15:08:37 +0000 http://blog.taxresource.ca/?p=773#comment-9224 I married a US citizen in 2009. He became a perm res in 2010, however he never lived here in canada for greater then 180 days in either year - will he be deemed a resident for tax purposes in those years?I am moving to the us in 2011, I am keeping my house in Canada. I will likely be deemed a resident for tax purposes, therefore I will be taxable on my worldwide income, however will the foreign tax credits eliminate the that tax effect - making it a wash? I married a US citizen in 2009. He became a perm res in 2010, however he never lived here in canada for greater then 180 days in either year – will he be deemed a resident for tax purposes in those years?

I am moving to the us in 2011, I am keeping my house in Canada. I will likely be deemed a resident for tax purposes, therefore I will be taxable on my worldwide income, however will the foreign tax credits eliminate the that tax effect – making it a wash?

]]> By: Tax Guyhttp://blog.taxresource.ca/becoming-a-non-resident-taxes/comment-page-4/#comment-9165 Tax Guy Tue, 21 Dec 2010 13:12:19 +0000 http://blog.taxresource.ca/?p=773#comment-9165 Contact the Canada Revenue Agency http://www.cra-arc.gc.ca/cntct/phn-eng.htmlContact either the Individual income tax inquires line if you are in Canada or the International Tax Services Office if you reside outside of Canada. Contact the Canada Revenue Agency http://www.cra-arc.gc.ca/cntct/phn-eng.html

Contact either the Individual income tax inquires line if you are in Canada or the International Tax Services Office if you reside outside of Canada.

]]>