Moving to US. Difficulties becoming a non resident?

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minster
Posts: 29
Joined: Mon Aug 15, 2016 11:35 pm

Moving to US. Difficulties becoming a non resident?

Post by minster »

I'm moving to California at the end of the month. I am wondering if the steps I will follow will be enough to make me non-resident of Canada.

I figured it is more straight forward since it's to the U.S. because from the CRA website it says the following:
[i]"If you established ties in a country that Canada has a tax treaty with and you are considered a resident of that country, but you are otherwise a factual resident of Canada, meaning you maintain significant residential ties with Canada, you may be considered a deemed non-resident of Canada."[/i]

Here is my situation:
- My family is coming with me at the same time.
- I have no home in Canada
- My wife owns a house that her parents live in. She has a pending mortgage on it.
- No car, furniture left behind.
- No social ties.
- Bank accounts will be updated with U.S. addresses. Should i consolidate to 1 account?
- TFSAs closed
- RRSPs account update to U.S. address.
- We will return our medical cards. Is it ok to wait until I get covered with my employers?
- We will keep our Canadian Passports. Is this ok?
- We would like to maintain a Canadian credit card for when we visit back. Is this ok?
- We would like to maintain our provincial drivers licence. At least until we pass the exam in California. Is this ok?

Any help is appreciated on if I need to follow more steps, and feedback on my uncertain points.
nelsona
Posts: 18363
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

Because of the treaty between US and Canada, you become non-resident the day you move with the first two bullets on your list:

- My family is coming with me at the same time.
- I have no home in Canada
The rest don't matter, as tie, and should be kept if possible.

A deemed non-resident is treated exactly the same as a non-resident, but you will be a pure non-resident. Don't worry about the confusing terms.

Obviously you will keep your CDn passports, how ele do you propose to travel?
You drivers license will be exchanged whgen you get new DL, within 30 days of arrival. Otherwise it is no longer valis after you move anyways.
Same for your health card, but you can contact your province and they will allow you to keep the card for a time.

It is a great idea to keep a CDn credit card and bank account for paying for Cdn items and trips to Canada.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
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