Fulll year non-resident of Canada, income in quebec, file quebec taxes ?

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totality6666
Posts: 15
Joined: Sat Nov 18, 2017 6:39 pm

Fulll year non-resident of Canada, income in quebec, file quebec taxes ?

Post by totality6666 » Tue Apr 02, 2019 7:57 am

Hi,

I'm a full-year non-resident Canadian citizen living in the US. I have filed departure returns for 2017 both at Canada Federal and Quebec levels.

I have income in 2018 which is a Bonus paid for 2017 work when. I was employed in Quebec. I received T4 and Releve1 for this income.

I have filed Canada non-resident return and included Releve1 income tax paid on line 437, following the advice of CRA here: https://www.canada.ca/en/revenue-agency ... ucted.html

"If you were not a resident of Quebec on December 31, 2018, but you had Quebec provincial income tax withheld from your income, also include those amounts on line 437 of your return"

However, I called Revenu Quebec to ask if I have to file in Quebec, and the lady pointed to me article 26 of Quebec law: http://www2.publicationsduquebec.gouv.q ... 3_1_A.html

"Every individual who was not resident in Canada at any time in a taxation year and who, in the taxation year or a previous taxation year, was employed in Québec, carried on a business in Québec or disposed of a taxable Québec property, shall pay a tax on the individual's income earned in Québec for the year as determined under Part II."

That would mean that I have to file in Quebec and potentially use my Releve1 again, and thus receive double refund for this income tax, which seems too good to be true.

Was I right to include Quebec tax on federal return, and should I file quebec return, as suggested by Revenu Quebec lady ?

Thanks

nelsona
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Re: Fulll year non-resident of Canada, income in quebec, file quebec taxes ?

Post by nelsona » Tue Apr 02, 2019 10:07 am

Your inclusion of QC tax on your Fed return was incorrect, as this applies only to those that become residents of other provinces, not non-residents.
My guessi s you were not using software?
So, you will need to correct your fed return, and include the QC withholding on your QC return.

Btw, if your total wages from Canada are less than 10K, you should not pay any tax to Canada or QC, by treaty.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D

totality6666
Posts: 15
Joined: Sat Nov 18, 2017 6:39 pm

Re: Fulll year non-resident of Canada, income in quebec, file quebec taxes ?

Post by totality6666 » Tue Apr 02, 2019 10:22 am

Thanks very much Nelsona.

I did use TurboTax and filled full non-resident. It did not produce a Quebec return and actually included Releve1 tax on the federal return, which is suspicious in retrospect.

Do you have any information to confirm that this only applies to non-resident of Quebec who reside in other provinces ? I could not find a source for this.

nelsona
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Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: Fulll year non-resident of Canada, income in quebec, file quebec taxes ?

Post by nelsona » Tue Apr 02, 2019 10:46 am

First, realize that because you have wage income, you are filing "as if" you were a QC resident.
The instruction in the tax guide state that non-residents having only wage income, should file the return for residents of that province, and that if that province is Quebec, you also need to file their return.
The explanation in the guide for line 437 also indicates that if you have to file a QC return -- YOU DO -- that you are not to include any QC withholding.

Do not include on this return any of your Quebec provincial
income tax deducted. Instead, claim it on your provincial
income tax return for Quebec.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D

totality6666
Posts: 15
Joined: Sat Nov 18, 2017 6:39 pm

Re: Fulll year non-resident of Canada, income in quebec, file quebec taxes ?

Post by totality6666 » Tue Apr 02, 2019 10:58 am

Thanks. One last thing: in my situation, can I claim Quebec Tax abattment on Federal return ?

nelsona
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Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: Fulll year non-resident of Canada, income in quebec, file quebec taxes ?

Post by nelsona » Tue Apr 02, 2019 4:14 pm

I would, since you are filing a Quebec return.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D

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