Health Card & Tax Residency

[hellomister40]

Hello,

A couple of my friends and I all moved to the US earlier this year from Ontario. Naturally, we still have our ON health cards with us, however, we are getting medical coverage in the US through our employer.

Q: should we mail in our ON HC prior to the end of 2015 to ensure we are not deemed tax-residents of Canada? OR is it that even we don't mail-in our cards, as long as we don't use ON HC and let it expire on its own, we are good?

Thank you

[nelsona]

health card does not Cdn establish tax residency, particularly in a treaty country where you CLEARLY meet the tax residency requirements of that treaty.

Leaving Canada makes your health card invalid. However, some provinces, Ontario for example, allow those leaving to preserve there coverage active for up to 5(?) years, but only if PRIOR to leaving, they informed OHIP that they would be keeping it active. I assume you guys didn't do this, so you are no longer covered by OHIP.

By even if you did this, that would never make you a Cdn tax resident, since you live and work in US.

[hellomister40]

thank you sir

[Lngo]

So, if you retain your health status in Canada (Ontario or Manitoba) for 5 years you can use such benefits without being deemed a resident of Canada for tax purposes and not being required to file (considering the taxpayer is full-time in the U.S and occasionally visits Canada and otherwise meets all the requirements as a non-resident of Canada)?

- What form is required to be filed in advance?

[nelsona]

It is not a form, you need to CONTACT the province before leaving, explain your situation (why you are leaving, when/if you plan to come back) and they will authorize this extension of helath coverage even thong no longer qualified.

But note that having such provincial coverage does NOT give you the needed coverage in US should you need hospitalization.