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Soft landing - How will I be taxed for following year after moving in for good?

Canadianimmi

Member
May 23, 2019
12
3
Hello, Although the countries we relocated from may differ I assume this situation exists for many if not all soft landers, hence thanks in advance to all who provide assistance.

Assume, in 2018 I completed my soft landing in the month of July, stayed for a month established no significant ties as mentioned on CRA website and flew out with PR cards and SIN numbers only. In 2018 I earned a total of 120,00 USD as foreign income (Obviously as I was still working outside Canada).

Assume in 2019 I moved to Canada permanently on 1st Apr 2019. I establish significant ties in Canada in the month of April and May like obtain a license, open bank accounts, pick up sim cards etc and become a resident. From 1 Jan 2019 - 31 March 2019 I earned 40,000 USD working from a foreign country before relocation for good. From 1 Apr 2019 to 31 July 2019 I was unemployed and thereafter from August till 31 Dec 2019 I earned tax deducted Canadian income of 50,000 CAD.

In 2020, While filing tax (for the year 2019) will I be taxed for the period Jan 2019 - Mar 2019 (While I was non-resident) or only for the period I became a resident from ie from 1st Apr2019? What is the assumption here - That I need to pay tax for the WHOLE of 2019 (including foreign income pre-relocating and being non-resident) since I am a tax resident for the year 2019 OR I need to pay taxes for 2019 being a tax resident ONLY from the date I became a tax resident in 2019? Many posts have conflicting information.

My previous location was UAE and Canada has a tax treaty with UAE although there is no taxable income in UAE hence UAE has 0% income tax.

Thanks
Immi.
 

canuck_in_uk

VIP Member
May 4, 2012
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06/12
Hello, Although the countries we relocated from may differ I assume this situation exists for many if not all soft landers, hence thanks in advance to all who provide assistance.

Assume, in 2018 I completed my soft landing in the month of July, stayed for a month established no significant ties as mentioned on CRA website and flew out with PR cards and SIN numbers only. In 2018 I earned a total of 120,00 USD as foreign income (Obviously as I was still working outside Canada).

Assume in 2019 I moved to Canada permanently on 1st Apr 2019. I establish significant ties in Canada in the month of April and May like obtain a license, open bank accounts, pick up sim cards etc and become a resident. From 1 Jan 2019 - 31 March 2019 I earned 40,000 USD working from a foreign country before relocation for good. From 1 Apr 2019 to 31 July 2019 I was unemployed and thereafter from August till 31 Dec 2019 I earned tax deducted Canadian income of 50,000 CAD.

In 2020, While filing tax (for the year 2019) will I be taxed for the period Jan 2019 - Mar 2019 (While I was non-resident) or only for the period I became a resident from ie from 1st Apr2019? What is the assumption here - That I need to pay tax for the WHOLE of 2019 (including foreign income pre-relocating and being non-resident) since I am a tax resident for the year 2019 OR I need to pay taxes for 2019 being a tax resident ONLY from the date I became a tax resident in 2019? Many posts have conflicting information.

My previous location was UAE and Canada has a tax treaty with UAE although there is no taxable income in UAE hence UAE has 0% income tax.

Thanks
Immi.
Read the CRA website instead of forum threads.

https://www.canada.ca/en/revenue-agency/services/tax/international-non-residents/individuals-leaving-entering-canada-non-residents/newcomers-canada-immigrants.html#whtr
 
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