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Canadian PR holder living and working in US needs to file tax to Canada?

green_dc

Hero Member
Dec 18, 2011
271
3
Category........
Visa Office......
CPP-O
Job Offer........
Pre-Assessed..
App. Filed.......
24-01-2013
AOR Received.
06-03-2013
Hi all,

I am a PR holder but I live and work in USA. Am I required to file a tax to Canada? I don't have any income from Canada in 2016. No ties except I would like to move back one day and would need to extend my PR card in future.
I pay tax here in US and I dont wanna pay double tax.
Can someone share their experience on this matter?

Thank you.
 

Bs65

VIP Member
Mar 22, 2016
12,337
2,160
Others will comment specifically on the tax situation which depends I believe on whether you are considered tax resident (not just having PR status) in Canada subject to tax on WW income. Despite that answer Canada/US as you probably know have a tax treaty to minimise double taxation as they do with many countries just need to determine residency status for tax purposes.

Another question though if you are living and working in the US and imply moving back one day in the future how would you plan to maintain your residency obligation living in Canada 2 years out of 5 ?
 

green_dc

Hero Member
Dec 18, 2011
271
3
Category........
Visa Office......
CPP-O
Job Offer........
Pre-Assessed..
App. Filed.......
24-01-2013
AOR Received.
06-03-2013
Thanx for your response.

I talked to CRA and they said I should apply for determining whether I am tax-resident in Canada. On the phone from what I saod to them, they said I will be probably non-resident for tax purpose as I dont have any ties to Canada.

I had already lived in Canada for almost for 2 years before I moved to USA. I have notification of tax return for those years. I am short of couple of months though but planning to move back to Canada a few months before my PR card expires to meet RO.

My question is that if I become non-resident for tax purposes, how would that affect my application for PR card renewal after I come back to Canada.

Thanks for your responses.
 

Rob_TO

VIP Member
Nov 7, 2012
11,450
1,546
Toronto
Category........
FAM
Visa Office......
Seoul, Korea
App. Filed.......
13-07-2012
AOR Received.
18-08-2012
File Transfer...
21-08-2012
Med's Done....
Sent with App
Passport Req..
N/R - Exempt
VISA ISSUED...
30-10-2012
LANDED..........
16-11-2012
green_dc said:
Thanx for your response.

I talked to CRA and they said I should apply for determining whether I am tax-resident in Canada. On the phone from what I saod to them, they said I will be probably non-resident for tax purpose as I dont have any ties to Canada.

I had already lived in Canada for almost for 2 years before I moved to USA. I have notification of tax return for those years. I am short of couple of months though but planning to move back to Canada a few months before my PR card expires to meet RO.

My question is that if I become non-resident for tax purposes, how would that affect my application for PR card renewal after I come back to Canada.

Thanks for your responses.
You should read this: http://www.cra-arc.gc.ca/tx/tchncl/ncmtx/fls/s5/f1/s5-f1-c1-eng.html
Evidence of intention to permanently sever residential ties
1.17 Whether an individual intended to permanently sever residential ties with Canada at the time of his or her departure from Canada is a question of fact to be determined with regard to all of the circumstances of each case. Although length of stay abroad is one factor to be considered in making this determination (that is, as evidence of the individual's intentions upon leaving Canada), the Courts have indicated that there is no particular length of stay abroad that necessarily results in an individual becoming a non-resident. Generally, if there is evidence that an individual's return to Canada was foreseen at the time of his or her departure, the CRA will attach more significance to the individual's remaining residential ties with Canada


In your case, you have no intention to permanently sever ties, as you are fully intending to return back to Canada to meet your RO and keep your PR status. So this, combined with any other ties (i.e. Canadian bank accounts, credit cards, accounts, investments, insurance products, etc) that you may still have from your years living here, and CRA may not determine you a non-resident, meaning you would need to continue paying Canadian taxes.

Also when it comes time to renew your PR card, they ask for previous tax returns as proof of your residency here. So if you didn't file returns for several years, and you are very close to the RO amount, you can expect your app to go to secondary review and experience very long delays in processing.
 

green_dc

Hero Member
Dec 18, 2011
271
3
Category........
Visa Office......
CPP-O
Job Offer........
Pre-Assessed..
App. Filed.......
24-01-2013
AOR Received.
06-03-2013
Thanks Rob.

Immigration will find out from CRA that I did not file for those years away because CRA determined me as non-resident for tax purpose.So i think I should be safe with Immigrationg as long as I meet the RO of 1095 days.

However, I see your point CRA may not determine me as non-resident as I have a full intention of settling back in Canada within a couple of years.

I think once CRA determines you non-tax resident, you can file a tax (international ) to CRA with zero income from sources within Canada. So Immigration can see that I files tax however with zero income as CRA suggests for non-residents. This is something I need to confirm with CRA.

I wonder if someone on this form had a similar issue of this.
 

Rob_TO

VIP Member
Nov 7, 2012
11,450
1,546
Toronto
Category........
FAM
Visa Office......
Seoul, Korea
App. Filed.......
13-07-2012
AOR Received.
18-08-2012
File Transfer...
21-08-2012
Med's Done....
Sent with App
Passport Req..
N/R - Exempt
VISA ISSUED...
30-10-2012
LANDED..........
16-11-2012
green_dc said:
Immigration will find out from CRA that I did not file for those years away because CRA determined me as non-resident for tax purpose.So i think I should be safe with Immigrationg as long as I meet the RO of 1095 days.

My original point remains the same. Being declared a non-resident means you are telling Canada you have no intention to ever return, so of course this could affect your PR renewal app processing. Plus if coming very close to meeting RO days, you should expect secondary review and very long processing for your PR renewal app.
 

Kittyz

Full Member
Jan 8, 2013
37
1
Thanks Rob.

Immigration will find out from CRA that I did not file for those years away because CRA determined me as non-resident for tax purpose.So i think I should be safe with Immigrationg as long as I meet the RO of 1095 days.

However, I see your point CRA may not determine me as non-resident as I have a full intention of settling back in Canada within a couple of years.

I think once CRA determines you non-tax resident, you can file a tax (international ) to CRA with zero income from sources within Canada. So Immigration can see that I files tax however with zero income as CRA suggests for non-residents. This is something I need to confirm with CRA.

I wonder if someone on this form had a similar issue of this.
Hi

I am in similar situation as yours, could you please share your experience on non-resident of Canada and PR renewal, really appreciate.

Thanks.