CRA Canadian taxes

This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

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arcticether
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CRA Canadian taxes

Post by arcticether »

When you consider yourself as a non-resident of Canada, you don't need to do anything right? No need to file taxes or send any forms for both Canada federal or Ontario provincial?

I was on the h1b for all of 2021 Jan - Dec and have no ties, spouse or house or cars in Canada.
nelsona
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Re: CRA Canadian taxes

Post by nelsona »

As long as you filed a departure return for 2020, sometime last spring, and you earned no income in canada in 2021, you are fine.

Did you put a departure date on your 2020 return, and paid any departure tax that was owed?
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arcticether
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Re: CRA Canadian taxes

Post by arcticether »

I forgot to put the 2020 as a departure return, and the only income I have is from TD Canada $50CAD of bank interest which I reported to the IRS on my 2021 return. Thanks
nelsona
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Re: CRA Canadian taxes

Post by nelsona »

so you need to fix 2020\ there may be obligations for departure.
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arcticether
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Re: CRA Canadian taxes

Post by arcticether »

Since Canada doesn't have amended returns could I just file a NR73 and declare that I left Dec 31,2020? Thus technically I would no longer need to file anything to CRA?
nelsona
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Re: CRA Canadian taxes

Post by nelsona »

Of course cra has amended returns. Where did you get that idea?

nr73 doesn't satisfy departure return requirements
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arcticether
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Re: CRA Canadian taxes

Post by arcticether »

Thanks Nelsona, my CPA told me there wasn't amended returns for CRA (said instead I should try to file a 2021 Tax return for a single day in Canada). I looked up REFILE, if I was to go the amended route would I simply just need to add a departure date of 12/31/2020 to my 2020 Canada taxes since I have no property or other income sources from Canada? My understanding is that a departing return doesn't have any additional special forms I need to fill out since I don't have any property? Thank you
nelsona
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Re: CRA Canadian taxes

Post by nelsona »

You had no investments, cars, etc on the day you left Canada? which was not likely dec 31, 2020.

Departure date is a matter of fact. not a choice.

And your CPA was wrong of course.
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arcticether
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Re: CRA Canadian taxes

Post by arcticether »

On Dec 31, 2020, I had no cars, house or property. The only things I had was a regular TD bank account, TFSA, RRSP. I had sold out completely of my regular margin brokerage accounts prior in Nov 2020. Do you think it would be better if I did a REFILE / amended to my Tax year 2020 or if I just filed for a single day in 2021/1/1? Thank you
nelsona
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Re: CRA Canadian taxes

Post by nelsona »

Like I said, your departure date is a matter of fact, not a date you merely choose for convenience, or because you forgot. You know when you moved to the US; that is your departure date. You know what you possessed on that day.

Correctly filing this on the return for that year will allow you to verify that you have accounted for all the requirements of a departure return, including not taking the full personal amount if you are not entitled to it, nor any government programs.

Your CPA should have known this last year.
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arcticether
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Re: CRA Canadian taxes

Post by arcticether »

Thanks Nelsona, is there a software you would recommend for filing the departure return? Thank you
nelsona
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Re: CRA Canadian taxes

Post by nelsona »

ufile works and it still supports the 2020 tax year. you will be filing an amendment however, not a full return.
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lazizaimport
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Joined: Mon Jul 18, 2022 4:49 pm

Re: CRA Canadian taxes

Post by lazizaimport »

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lazizaimport
Posts: 3
Joined: Mon Jul 18, 2022 4:49 pm

Re: CRA Canadian taxes

Post by lazizaimport »

When a business has many employees and payroll has to be processed regularly, the task can be very time-consuming and take up much of an employee's time. The best way to make the process easier is to use pay stub generators, designed to save you time and money by making the job more efficient. The best app I recommend using is paystub https://www.thepaystubs.com/ , one of the best on the market. I have been working with them since 2019, and I have never had any problem, and I am very delighted with their customer service, which is helping me with any questions I have.
ND
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Re: CRA Canadian taxes

Post by ND »

CRA lets one amend many T1 items directly online at 'my account', see if you can simply do that to mark 2020 exit, bc if so, that will alleviate need to file amended return. Have done so for FTC claims.
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