Departure tax for CDN working in US

justinxilu · Post by **justinxilu** » Tue Dec 23, 2014 8:55 pm

Situation:

I left Canada August 2013 and have been working and living in the US ever since (with visits back to Canada on holidays). I do not have a house, spouse, or a dependents.

I filed a 1040NR in US for 2013 tax year, as well as Canadian tax as a resident since I spent most of my 2013 as a canadian resident.

Do I need to do anything for Canadian taxes for 2014? I reckon there should be a form stating i am not a resident anymore. A part of me feels like I messed up the Canadian tax filing for 2013 since i do did not fair value shares i owned as of Dec 31, 2013 for deemed disposition. I subsequently disposed of them around June 2014.

I do have a bank account, credit card, and driver's licence in Ontario.

Please advise. Thanks!

nelsona · Post by **nelsona** » Wed Dec 24, 2014 12:00 pm

You did not file your 2013 taxes in Canada correctly. You left in 2013 and should amend your return for that year.

It does not matter that you filed 1040NR.

justinxilu · Post by **justinxilu** » Wed Dec 24, 2014 6:49 pm

Thanks for confirming!

Appreciate it. I assume for 2014 i would have to file again since i disposed of investments in 2014? and the adjusted cost base would be fair market value as of 12.31.2013 (since i'd be filing an amended return for 2013)?

Thanks again

nelsona · Post by **nelsona** » Wed Dec 24, 2014 9:37 pm

No. That is the point of departure return. You are deemed to have sold everything (except Cdn real estate and a few other thingd) the day you left, and that ends your Cdn taxation on investments.

Please read the "Emigrants" guide from CRA for the rules.

justinxilu · Post by **justinxilu** » Fri Dec 26, 2014 12:11 pm

Got it. Thanks again & happy holidays!