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  1. #11

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    tigersun, as i said, my CANADIAN accountant told me back in 1996 that there was no need to declare non-residency in canada. he said it was very easy to prove that i was non-resident and should there be any problems down the road, it would not be difficult to prove that i haven't been resident there for now, 17 years.


  2. #12

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    A lot has changed in the world over the past 16 years Cara. I would not be relying on or passing on advice that is almost two decades old. Both tax systems and legislation evolve over time. In the UK there have been significant changes to the residency definition over that time scale.


  3. #13

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    Quote Originally Posted by TigerSun
    So there you have it.

    To claim non-residency, the law is to file the paper work and and be assessed under a valuation system.

    Or, according to gilleshk, no need to fill out forms and audits are 'relatively rare'.
    Should you be audited, you can always refer them to gilleshk post.

    Good luck.
    Now if anyone wants to believe an sulking idiot that obviously doesn't know the difference between a law and an opinion, that is an option. I have a good friend who is a prominent canadian tax attorney in HK which is where I get my counsel. I suggest you talk to real people with credentials instead of anonymous morons on an internet forum and then you cam make up your own mind as to what is usually done.

    Straight from the CRA website:

    Your residence status affects your Canadian tax liability and filing obligations. If you want our opinion about your residence status, complete either Form NR74, Determination of Residency Status (Entering Canada) or Form NR73, Determination of Residency Status (Leaving Canada), whichever applies, and send it to our International Tax Services Office. You must give us as much details as possible on your form so that we can give you our most accurate opinion.

    Nowhere is it stated that this form must be filled. Those who have experience in this matter usually point out that filling the form out puts you on the CRA radar and it makes it more likely you will be audited. The form doesn't guarantee anything, it is simply an opinion given at a point and time with the information you have offered. When there's an audit, you will be going through the exact same step as someone without a form.

    Many of the cases end up in court and one judge published a list of factors that are considered.

    Judge Gordon Teskey of the tax court of Canada said:

    "The question of residency is one of fact and depends on the specific facts of each case. The following is a list of some of the indicia relevant in determining whether an individual is resident in Canada for Canadian income tax purposes. It should be noted that no one of any group of two or three items will in themselves establish that the individual is resident in Canada. However, a number of the following factors considered together could establish that the individual is a resident of Canada for Canadian income tax purposes":

    - past and present habits of life;
    *
    - regularity and length of visits in the jurisdiction asserting residence;
    *
    - ties within the jurisdiction;
    *
    - ties elsewhere;
    *
    - permanence or otherwise of purposes of stay;
    *
    - ownership of a dwelling in Canada or rental of a dwelling on a long-term basis (for example, a lease of one or more years);
    *
    - residence of spouse, children and other dependent family members in a dwelling maintained by the individual in Canada;
    *
    - memberships with Canadian churches, or synagogues, recreational and social clubs, unions and professional organizations (left out mosques);
    *
    - registration and maintenance of automobiles, boats and airplanes in Canada;
    *
    - holding credit cards issued by Canadian financial institutions and other commercial entities including stores, car rental agencies, etc.;
    *
    - local newspaper subscriptions sent to a Canadian address;
    *
    - rental of Canadian safety deposit box or post office box;
    *
    - subscriptions for life or general insurance including health insurance through a Canadian insurance company;
    *
    - mailing address in Canada;
    *
    - telephone listing in Canada;
    *
    - stationery including business cards showing a Canadian address;
    *
    - magazine and other periodical subscriptions sent to a Canadian address;
    *
    - Canadian bank accounts other than a non-resident account;
    *
    - active securities accounts with Canadian brokers;
    *
    - Canadian drivers licence;
    *
    - membership in a Canadian pension plan;
    *
    - holding directorships of Canadian corporations;
    *
    - membership in Canadian partnerships;
    *
    - frequent visits to Canada for social or business purposes;
    *
    - burial plot in Canada;
    *
    - legal documentation indicating Canadian residence;
    *
    - filing a Canadian income tax return as a Canadian resident;
    *
    - ownership of a Canadian vacation property;
    *
    - active involvement with business activities in Canada;
    *
    - employment in Canada;
    *
    - maintenance or storage in Canada of personal belongings including clothing, furniture, family pets, etc.;
    *
    - obtaining landed immigrant status or appropriate work permits in Canada;
    *
    - severing substantially all ties with former country of residence.
    carang, HowardCoombs and CBC922 like this.

  4. #14

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    Quote Originally Posted by TigerSun
    To claim non-residency, the law is to file the paper work and and be assessed under a valuation system.
    I'm a non resident Canadian and my knowledge matches carang and gilleshk as well, however I'm happy to be corrected.

    Could you please point me to this law requiring paperwork to be filed? I never did it when I left Canada and its the first I've heard of it.

  5. #15

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    Quote Originally Posted by gilleshk
    [/U][/COLOR] However, a number of the following factors considered together could establish that the individual is a resident of Canada for Canadian income tax purposes":

    - past and present habits of life;
    *
    - regularity and length of visits in the jurisdiction asserting residence;
    *
    - ties within the jurisdiction;
    *
    - ties elsewhere;
    *
    - permanence or otherwise of purposes of stay;
    *
    - ownership of a dwelling in Canada or rental of a dwelling on a long-term basis (for example, a lease of one or more years);
    *
    - residence of spouse, children and other dependent family members in a dwelling maintained by the individual in Canada;
    *
    - memberships with Canadian churches, or synagogues, recreational and social clubs, unions and professional organizations (left out mosques);
    *
    - registration and maintenance of automobiles, boats and airplanes in Canada;
    *
    - holding credit cards issued by Canadian financial institutions and other commercial entities including stores, car rental agencies, etc.;
    *
    - local newspaper subscriptions sent to a Canadian address;
    *
    - rental of Canadian safety deposit box or post office box;
    *
    - subscriptions for life or general insurance including health insurance through a Canadian insurance company;
    *
    - mailing address in Canada;
    *
    - telephone listing in Canada;
    *
    - stationery including business cards showing a Canadian address;
    *
    - magazine and other periodical subscriptions sent to a Canadian address;
    *
    - Canadian bank accounts other than a non-resident account;
    *
    - active securities accounts with Canadian brokers;
    *
    - Canadian drivers licence;
    *
    - membership in a Canadian pension plan;
    *
    - holding directorships of Canadian corporations;
    *
    - membership in Canadian partnerships;
    *
    - frequent visits to Canada for social or business purposes;
    *
    - burial plot in Canada;
    *
    - legal documentation indicating Canadian residence;
    *
    - filing a Canadian income tax return as a Canadian resident;
    *
    - ownership of a Canadian vacation property;
    *
    - active involvement with business activities in Canada;
    *
    - employment in Canada;
    *
    - maintenance or storage in Canada of personal belongings including clothing, furniture, family pets, etc.;
    *
    - obtaining landed immigrant status or appropriate work permits in Canada;
    *
    - severing substantially all ties with former country of residence.
    just gone through this list...i don't have a single thing on it... and as for the frequency of my travel... i think in 17 years, i've been back 10 or 11 times.... so, not even once/year. as i said, it is plainly obvious that i am not a resident there... as a matter of fact, wouldn't my gaining permanent residency here kind of prove that?

  6. #16

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    Quote Originally Posted by carang
    just gone through this list...i don't have a single thing on it... and as for the frequency of my travel... i think in 17 years, i've been back 10 or 11 times.... so, not even once/year. as i said, it is plainly obvious that i am not a resident there... as a matter of fact, wouldn't my gaining permanent residency here kind of prove that?
    Being a permanent resident in HK has no influence on your residency status in Canada and doesn't prove anything in itself. What matters are your canadian ties not your ties to other countries...

    Gaining residency in HK simply means that you've put in the time not that you've severed any ties. Furthermore, once acquired, you can keep being a permanent HK resident by visiting every three years. That is hardly something I would use to prove anything...

  7. #17

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    sure, i see what you are saying, BUT, that COMBINED with the fact that i do not have one single of the "ties" that you listed, would surely be enough to prove i am not resident in canada... no?

    i wasn't mean that in and of itself, the PR here would mean that i wasn't resident there (i wasn't very clear in my post, my apologies).

    i did mean that the two things combined would be proof enough.


  8. #18

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    Quote Originally Posted by gilleshk
    Your residence status affects your Canadian tax liability and filing obligations. If you want our opinion about your residence status, complete either Form NR74, Determination of Residency Status (Entering Canada) or Form NR73, Determination of Residency Status (Leaving Canada), whichever applies, and send it to our International Tax Services Office. You must give us as much details as possible on your form so that we can give you our most accurate opinion....
    OK, I shouldn't have said law.
    I should have said opinion.
    Like when Revenue Canada advised me of their OPINION that I could not claim non-residency status UNLESS I FILLED OUT NR73 FORM for them to evaluate.
    It seems a mute difference.

    Quote Originally Posted by gilleshk


    It should be noted that no one of any group of two or three items will in themselves establish that the individual is resident in Canada. However, a number of the following factors considered together could establish that the individual is a resident of Canada for Canadian income tax purposes":

    - past and present habits of life;
    *
    - regularity and length of visits in the jurisdiction asserting residence;
    *
    - ties within the jurisdiction;
    *
    - ties elsewhere;
    *
    - permanence or otherwise of purposes of stay;
    *
    - ownership of a dwelling in Canada or rental of a dwelling on a long-term basis (for example, a lease of one or more years);
    *
    - residence of spouse, children and other dependent family members in a dwelling maintained by the individual in Canada;
    *
    - memberships with Canadian churches, or synagogues, recreational and social clubs, unions and professional organizations (left out mosques);
    *
    - registration and maintenance of automobiles, boats and airplanes in Canada;
    *
    - holding credit cards issued by Canadian financial institutions and other commercial entities including stores, car rental agencies, etc.;
    *
    - local newspaper subscriptions sent to a Canadian address;
    *
    - rental of Canadian safety deposit box or post office box;
    *
    - subscriptions for life or general insurance including health insurance through a Canadian insurance company;
    *
    - mailing address in Canada;
    *
    - telephone listing in Canada;
    *
    - stationery including business cards showing a Canadian address;
    *
    - magazine and other periodical subscriptions sent to a Canadian address;
    *
    - Canadian bank accounts other than a non-resident account;
    *
    - active securities accounts with Canadian brokers;
    *
    - Canadian drivers licence;
    *
    - membership in a Canadian pension plan;
    *
    - holding directorships of Canadian corporations;
    *
    - membership in Canadian partnerships;
    *
    - frequent visits to Canada for social or business purposes;
    *
    - burial plot in Canada;
    *
    - legal documentation indicating Canadian residence;
    *
    - filing a Canadian income tax return as a Canadian resident;
    *
    - ownership of a Canadian vacation property;
    *
    - active involvement with business activities in Canada;
    *
    - employment in Canada;
    *
    - maintenance or storage in Canada of personal belongings including clothing, furniture, family pets, etc.;
    *
    - obtaining landed immigrant status or appropriate work permits in Canada;
    *
    - severing substantially all ties with former country of residence.
    Thanx for substantiating the rest of my point that the GOVERNMENT decides on whether you are a non-resident based on a number of factors, not the taxpayer.

  9. #19

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    Quote Originally Posted by HowardCoombs
    I'm a non resident Canadian and my knowledge matches carang and gilleshk as well, however I'm happy to be corrected.

    Could you please point me to this law requiring paperwork to be filed? I never did it when I left Canada and its the first I've heard of it.
    My understanding from discussions with my CDN tax accountant AND letters from the gov't was that if I was to file an income tax statement as a non-resident and have it accepted I would have to file a NR73 for their assessment of my eligibilty.

    I would be surprised if this applied to me and not others.

  10. #20

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    yeah, see... i've not filed any income tax statements for 17 years either. once i moved here, my accountant said there was no need as i wasn't resident in canada.

    HowardCoombs likes this.

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