Do I need to file the tax?

[m4w142]

Hello all,

I am the PR since 2021.01 and I have work in Quebec until March. I am now staying at home and have no income. I will go to the US for my graduate studies and this program lasts for two years. I am wondering if I need to file tax in the next two years?

I own two homes in Quebec, one will be vacant and the other one will be rented out.

Thanks!

 

[steaky]

Yes, especially if you become non resident for tax purposes, make sure you pay withholding tax for your rental income.

 

[m4w142]

Yes, especially if you become non resident for tax purposes, make sure you pay withholding tax for your rental income.

Hello Steaky,

Thanks for your reply. I will sign a contract with a property management company to rent out my home. There is a line include in the contract "
If you are not a Canadian resident, The Propergy Management is obliged to retain 25% of the income to send to Revenue Quebec as tax instalment. " Does this mean the withholding tax as you mentioned?



"

 

[canuck78]

Hello all,

I am the PR since 2021.01 and I have work in Quebec until March. I am now staying at home and have no income. I will go to the US for my graduate studies and this program lasts for two years. I am wondering if I need to file tax in the next two years?

I own two homes in Quebec, one will be vacant and the other one will be rented out.

Thanks!

Income has no impact on whether or not you need to apply for taxes. You were definitely a tax resident in 2021. You should contact CRA to determine whether you are a tax resident for the remainder of the years you are away. Being a tax residents primarily has to do with ties to Canada.

 

[steaky]

Hello Steaky,

Thanks for your reply. I will sign a contract with a property management company to rent out my home. There is a line include in the contract "
If you are not a Canadian resident, The Propergy Management is obliged to retain 25% of the income to send to Revenue Quebec as tax instalment. " Does this mean the withholding tax as you mentioned?



"

Seems to be.

 

[canuck78]

Hi, I'm not very sure about that, but I don't think so. Since you don't work in the USA, there is no point in paying taxes there. On the other hand, you should stay safe and contact a professional. I recently found this article https://tipsogram.com/best-tax-software/. You can contact one of the platforms mentioned there and ask them. I am sure they will be the best people to help you. On top, even if you should pay takes, they can suggest the most convenient way to do so and how to save as much money as possible.

This is incorrect. They need to determine if they are a resident for tax purposes since she has ties to Canada.

 

[jclarke99]

Seems to me that you're probably going to still be considered a resident of Canada for tax purposes.

"If you are working temporarily outside Canada, vacationing outside Canada, commuting (going back and forth daily or weekly) from Canada to your place of work in the United States, or attending school in another country, and you maintain residential ties with Canada, you may be considered a factual resident of Canada"

https://www.canada.ca/en/revenue-agency/services/tax/international-non-residents/information-been-moved/determining-your-residency-status.html