Cdn SIN (social insurance number) acct declared "dorman

[CalGreenCard]

Although I've lived in the USA (and had no Canadian income or ties) for many years, I've had online access to my CPP account (Service Canada--[url]http://www.servicecanada.gc.ca[/url]) for the last couple of years, which lists my Canadian earnings from when I did work in Canada. I like to check the status of my account online every six months of so--I don't expect anything to change since I'm not earning money in Canada but just like to verify that everything remains in order.

I was therefore surprised today to try to log on and get a message saying I needed to call in to 866-279-5238/506-548-7009 to verify my personal information. When I did so, I was told that Revenue Canada had declared my SIN account "dormant" as I haven't filed a tax return (since I'm not a Canadian resident) for the last 5 years. It has actually been much more than 5 years since I filed a tax return in Canada. However in 2008 I replaced my lost SIN card so perhaps this was recorded as my last "transaction" with them and my account was declared dormant 5 years later after no further activity.

After taking my current US address, they are going to mail out two forms to me. One form--and this is quite surprising--is an application for a social insurance number. Essentially I need to apply for a social insurance number (using my existing number) all over again. And I need to physically show them my Canadian citizenship certificate--either by mailing it in or by visiting a Service Canada centre in person the next time I'm in Canada.

This seems very strange to me. My social insurance number is supposed to be mine for life--I can understand the need to verify my identity but it seems strange that I need to, in essence, apply again for my existing number.

Has anyone else encountered this? I've never heard of this before which is why I'm asking.

The second form is something that I will need to justify why my account has been dormant--perhaps justifying why I haven't filed Canadian income tax returns. However I'm less clear what this second form is so perhaps I'll post more about it once it arrives in the mail and I have a clearer sense what the second form is.

Any thoughts on this?

[nelsona]

I suspect that they are doing this to protect from fraudulent use. You will probably keep the same number, but will still be entitled to whatever CPP OAS you earned under this or previous number.

I think the idea is a good one; it could have been worded to you better.

[nelsona]

http://www.canadavisa.com/canada-immigr ... 370.0.html

[CalGreenCard]

[quote="nelsona"]I think the idea is a good one; it could have been worded to you better.[/quote]

Thanks for the reply--yes, the link that your provided in the other post seems clear. But I also think this could be publicized more. It seems that until the SIN is reactivated, I wouldn't be able to legally work in Canada. It is surprising that no mention is made on the Service Canada site of this possibility for inactive SIN's as it seems a potentially fairly major issue.

I wonder if people who retain some financial ties in Canada--eg an RRSP or paying off Canada Student Loans--would remain on the radar and not have their SIN's deactivated?

[nelsona]

I do not belive you would be barred from work until you activated your SIN. It would be much like a newcomer, having applied for a SIN, but being allowed to work in the meantime.

I do not believe there is an instantaneous method of evaluating SIN numbers in place for Cdn employers (like the "E-verify" system in US).

[CalGreenCard]

So it looks like they want a complete list, with dates, of my employers and schools during my time outside Canada to reinstate my SIN. I don't know whether this means for the 5 or so years since my last "transaction" with them--replacing my SIN--or for the entire 20+ years I've been outside of Canada. Between immigration (for the earlier years) and tax (for the post-GC yeras) records, I can probably provide some records--but it is doubtful that I can provide exact dates of employment and school for the entire 20+ years if they insist on exact records.

Moreover I formally declared myself a non-resident of Canada for tax purposes to CCRA some time ago--so it is not clear what the basis is for requesting this info.

Should I be concerned about this? This is not urgent as I don't expect to return to Canada in the immediate future.

[nelsona]

I wouldn't bother with this at this point; Service canada doesn't like to deal with people outside canada. There is no need to provide the info they are asking for -- and quite franklly I would point blank NOT give it to them.

When you go back, or are physically in Canads, this can be adressed in 30 minutes.

[sunnylight]

Question about the dormant SIN. If the SIN is dormant, will NR4 be any problem for the withholding tax remitted? Wondering the SIN is inactive, what will happen to the withholding tax, bounce back to the bank? If so, how non-resident handle it?

Thanks.

[JGCA]

THe NR4 will not be affected, I have issued Nr4's to non residents with no SIN the CRA just wants its pound of flesh, they will never bounce back the money to the banks.

[sunnylight]

Thanks. But will CRA send the notification about this SIN was dormant?

[nelsona]

the SIN is never dormant for TAX purposes, it is only dormant for credit and employment purposes.