A tax non-resident of Canada must pay 25% of gross rental income by the 15th of the following month (let’s ignore the fact that the tax can be paid on the “net income”).
Does anyone know how paying withholding tax on rental income directly to CRA, i.e. without an agent, works?
In the CRA website, there is an option to "Open a non-resident tax account" which has an option for a "Non-resident payee (A non-resident of Canada who is receiving payments from a Canadian payer)".
Should an owner opens such account and then for example pay the 25% withholding tax every month using their bank's website? (I assume there will be a non-resident account number that needs to be mentioned when paying the tax)
How to pay non-resident withholding tax on rental income directly by the owner
Moderator: Mark T Serbinski CA CPA
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