Is independent contractor outside of Canada accounting for residency obligation?

[NickInChina]

Hello all,

Thanks for clicking in and reading this message. I may need help from you all.

I just signed a new job as an independent contractor. This business is a Canadian business in Toronto.

This company would send me to Beijing, China for its work. The independent contract says the length of term is 1 year.

Now I am wondering whether this job could be counted as residency obligations in Canada?

Thanks quite a lot!

 

[zardoz]

See https://www.canada.ca/en/immigratio...renewal-change-sex-designation.html#appendixA

Situation 2. Employment outside Canada
You may count each day you worked outside Canada if:

• you are an employee of, or under contract to, a Canadian business or the public service of Canada or of a province or territory and
• as a term of your job or contract, you are assigned on a full-time basis to:
  • a position outside Canada
  • an affiliated enterprise outside Canada or
  • a client of the Canadian business or the public service outside Canada; and
• you will continue working for the employer in Canada after the assignment.

For this application, a Canadian business is defined as:

• a corporation that is incorporated under the laws of Canada or of a province and that has an ongoing operation in Canada
• an enterprise that has:
  • an ongoing operation in Canada
  • is capable of generating revenue
  • is carried out in anticipation of profit
  • in which a majority of voting or ownership interests is held by Canadian citizens, permanent residents, or Canadian businesses as defined above or
• an organization or enterprise created by the laws of Canada or a province

Supporting documents:

You must provide a letter signed by an official of the business stating:

• the position and title of the signing official
• the nature of the business and how it fits the description of a Canadian business (see definition above)
• details of your assignment or contract outside Canada such as:
  • length of the assignment,
  • confirmation that you are a full-time employee of the “Canadian business” working abroad on a full-time basis as a term of your employment, or that you are on contract working abroad on a full-time basis as a term of your contract; and
  • a description or copy of the position profile regarding the assignment or contract abroad, and
• confirmation that the business was not created primarily to let you meet your residency obligation

You may also include:

• articles of incorporation and business licences
• partnership agreements or corporate annual reports
• corporate Canadian Income Tax Notices of Assessment or financial statements
• copies of the Employee Assignment Agreement or Contract
• copies of any agreements between the Canadian business and the business or client outside Canada concerning your assignment to that client or business
• Pay Statements
• Canadian Income Tax Notice of Assessment (NOA)
• T4 slips
• Any other proof you want us to consider

 

[Bs65]

Above is fine and am sure others can comment but usually the expectation is that someone has worked for the Canadian company in Canada for a period of time before they assigned outside of the country on a temporary basis to continue meeting the RO.

Maybe I missed whether this is the case here as the OP just implied a single 1 year contract starting and maybe finishing outside of Canada without maybe working either before or after the 1 year for the company in Canada ?

 

[NickInChina]

Above is fine and am sure others can comment but usually the expectation is that someone has worked for the Canadian company in Canada for a period of time before they assigned outside of the country on a temporary basis to continue meeting the RO.

Maybe I missed whether this is the case here as the OP just implied a single 1 year contract starting and maybe finishing outside of Canada without maybe working either before or after the 1 year for the company in Canada ?

Thanks,

This company does not confirm that they would hire me after 1 year period. So I’m quite confusing now.

I wish to work for them in the following 2 years in Beijing...

 

[vensak]

Your problem is that you are independent contractor and not an employee. In case of that company they are simply buying services from you (because they can).
So when it comes your evidence it is about your company you are working for (also you are self employed). So you might need a bit more digging if such thing is possible or not.

 

[Buletruck]

This company does not confirm that they would hire me after 1 year period.

If you aren't returning to work full time at the end of the contract, then the time won't count.

you will continue working for the employer in Canada after the assignment.

Another potential issue is that you are an independent contractor. Were you directly employed by the company (i.e. employee number, benefits, etc) or are you being hired specifically as a contractor (essentially your own company)?

 

[scylla]

Thanks,

This company does not confirm that they would hire me after 1 year period. So I’m quite confusing now.

I wish to work for them in the following 2 years in Beijing...

This will be counted as time outside of Canada. You will not be able to count this time towards PR.