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Claiming Non-Residency in Canada - Would appreciate your opinion

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  1. #1

    Join Date
    Dec 2012
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    Claiming Non-Residency in Canada - Would appreciate your opinion

    Hi guys,

    So tax season is just around the corner in Canada, and I just wanted to ask for your opinion to see if this was a good idea:

    I worked in Canada from Jan 2013 - June 2013. I then left Canada (permantely) Late June 2013 for another opportunity in Hong Kong.
    - I do not have any assets (except for a bank account with $500, driver's license, and a RRSP account that still has some savings from working in Canada for the past 5 years).

    I now reside in Hong Kong.

    I want to declare non-resident of Canada to avoid paying double taxes.

    Should I...... File my taxes for the 2013 Year as a regular resident (indicating that I worked up until June 2013, and quit after that for the rest of the year).....and then when 2014 tax season comes along, I will THEN declare non residency? I should get a big tax return for 2013 because I transferred all my bank savings to my RRSP account before I left for Hong Kong.

    or Should I...... File my taxes for the 2013 Year, and declare non residency when I left in Late June 2013?

    Thanks for your advice!


  2. #2

    Join Date
    Mar 2007
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    13,099

    Declare ASAP.
    If you dont, you are liable to pay Canadian taxes on all your worldwide income (until you are deemed non resident)


  3. #3

    Join Date
    May 2008
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    I'm not sure if you can file for non-residency file prior to doing the tax return for 2013 sometime in 2014, that's something you'll have to look at.

    Also be aware that residency for tax purposes, and other purposes may vary, such as for immigration or health care, just something to take note of.


  4. #4

    Join Date
    Dec 2012
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    Quote Originally Posted by HowardCoombs:
    Declare ASAP.
    If you dont, you are liable to pay Canadian taxes on all your worldwide income (until you are deemed non resident)
    Quote Originally Posted by Hairball:
    I'm not sure if you can file for non-residency file prior to doing the tax return for 2013 sometime in 2014, that's something you'll have to look at.

    Also be aware that residency for tax purposes, and other purposes may vary, such as for immigration or health care, just something to take note of.

    Thanks for your replies guys!

    So is there a reason why I can't simply say in 2013 I only worked in Canada till June, and left to Hong Kong to travel for the remaining 6 months of the 2013 year?

    Then after 2014 ends, I can file my "final" tax return in 2015, saying I am claiming non-residency beginning January 1, 2014?
    Last edited by 7jai; 24-10-2013 at 05:36 PM.

  5. #5

    Join Date
    Mar 2007
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    13,099

    I did my declaration 20 years ago - so things may have changed.
    In those days, you made the declaration on your very next tax return - it was a simple box and you ticked it with a date.

    No matter how it is done, just do it timely...


  6. #6

    Join Date
    Dec 2012
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    598
    Quote Originally Posted by HowardCoombs:
    I did my declaration 20 years ago - so things may have changed.
    In those days, you made the declaration on your very next tax return - it was a simple box and you ticked it with a date.

    No matter how it is done, just do it timely...
    Thanks for your response! It's still the same way to declare non residency. You basically tick a box when you file your final tax return, and you move on.

    The only thing is, I dont want to pay tax for my second half of the year's income (i've been working in HK since late June). So I'm just afraid if I declare now, they will tax me for the money i made in HK (even though I left in mid June already).

    That's why I was thinking about filing next year for non residency and not this year.

  7. #7

    Join Date
    Mar 2010
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    6,745

    I think if u r under 183 days in CA and have no ties such as your own place thou shall be fine.
    Why not email tax auth. In CA to inquire?


  8. #8

    Join Date
    Jun 2008
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    1,115

    Honestly, before I moved to HK I did call up Rev Canada and asked about non-residency declaration, all they said was as long as you are leaving for good and don't have a close tie in Canada (aka, properties, a bank account with regular transaction etc), you don't need to do anything.


  9. #9

    Join Date
    Dec 2012
    Posts
    598

    Thanks everyone for your feedback and expertise! I think I have the knowledge now to apply for non-residency come this April 2014!

    I will post my findings/discoveries/results once everything has been completed and finalized for other future forum members who have similar questions too!

    I expect a last cheque from the Gov't of Canada because I moved all my savings into RRSP's in Canada after I left for Hong Kong. So I have maybe a few hundred dollars left in my Canadian Bank, and the rest is fixed in RRSP's. So I think I should get a cash return this coming tax season - and at the same time file for non-residency.

    Thanks again everyone for your insights and shared experiences!


  10. #10

    Hi, I assume you have been in HK for 20 years. I just ask if you moved in HK, did you notify the Canadian tax department on your new home address in HK?


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