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Answer

Concerning foreign income conversion and whether FX and transfer fees are considered a loss/expense

Hi Luke, Yes, in many cases the FX conversion fees and transfer fees can be claimed as business expenses, provided they were incurred to earn your self-employment income and are reasonable in the circumstances. CRA generally allows reasonable expenses incurred to earn business income, and Form T2125 can be used to report those business expenses. … Continue reading Concerning foreign income conversion and whether FX and transfer fees are considered a loss/expense

T5 issued by bank instead of NR4 for savings account

Hi Matt, Generally, if you are a non-resident of Canada, interest paid by a Canadian bank on a regular savings account is usually exempt from Canadian withholding tax, provided you are dealing with the bank at arm’s length. In that case, you would normally not have to file a Canadian tax return or pay Canadian … Continue reading T5 issued by bank instead of NR4 for savings account

How much to file a (simple) Non-Resident 2025 Tax Return for Canada?

Hi Maria, Yes, we can assist with this type of filing. Based on the facts you provided, this would generally be a Canadian non-resident treaty-based return. You are a U.S. citizen, you worked in Canada for only 49 days in 2025, and you received a T4A-NR for the fees paid by the Royal Winnipeg Ballet. … Continue reading How much to file a (simple) Non-Resident 2025 Tax Return for Canada?

Left Canada did not file departure tax have corp in canada too how do i proceed?

Hello, Based on what you described, you likely need to correct your 2024 personal tax returns to report a departure from Canada in July 2024, assuming the facts support that you became non-residents at that time. If so, your 2024 returns should likely be amended from full-year resident returns to emigrant returns, with the departure … Continue reading Left Canada did not file departure tax have corp in canada too how do i proceed?

NR73 and ties

Hi Sarah, Thank you for your kind message. In practice, there is no fixed number of “secondary ties” that automatically tips the scale. CRA looks at all of the facts together. Their published guidance says secondary ties must be considered collectively, and that it would be unusual for a single secondary tie on its own … Continue reading NR73 and ties

Mrs. Joan Le

Hi Joan, Whether the GIC interest is taxable in Canada depends mainly on your Canadian tax residency status, not just your visa or immigration status. CRA looks at your residential ties to Canada, such as whether you are living in Canada with your spouse, rather than your immigration category alone. If you are a resident … Continue reading Mrs. Joan Le

Parents left Canada permanently. Did not file a departure return. Transferred their house to us as a gift after becoming non resident. Tax Implications?

Hi Nick, Thanks for the detailed facts. There are a few moving pieces here, but the key point is this: A) Departure return (2021): likely no tax on the principal residence, but the paperwork may still have been required When someone leaves Canada and becomes a non-resident, CRA generally expects a departure return for that … Continue reading Parents left Canada permanently. Did not file a departure return. Transferred their house to us as a gift after becoming non resident. Tax Implications?

How do I rectify this with CRA? Death of a non resident parent abroad in 2025. Departure tax not filed when they left in 2022.

Hi Janiscra, Sorry to hear about your loss. Based on what you shared, here’s the usual CRA filing roadmap in this situation (non-resident parent who left Canada in March 2022, passed away abroad in September 2025, and only a Canadian bank account at death): 1) 2022 “departure” return is typically required (T1 departure return). Because … Continue reading How do I rectify this with CRA? Death of a non resident parent abroad in 2025. Departure tax not filed when they left in 2022.

Dividend refund

Hi SNB, Thank you for your question. From an accounting and bookkeeping perspective, the CRA dividend refund (i.e., a refund arising from RDTOH) should generally be treated as an income tax refund to the corporation, not as a reduction (contra) of dividends paid. 1) Do not net against dividends paid Dividends paid are a distribution … Continue reading Dividend refund

Foreign rental apartment when one partner is a resident and the other is not

Hi Greg, Thanks for your question. The key issue here is beneficial ownership, not just whose name is on title. 1) Was the property “yours” for Canadian reporting? For Canadian tax purposes (including T1135 and rental income reporting), CRA generally looks to who truly owns the property economically (benefits/burdens of ownership), for example: Who paid … Continue reading Foreign rental apartment when one partner is a resident and the other is not

Other Income earned T4A

Hi Ms. M, Yes, in most cases you can deduct the costs you incurred to earn the income shown on the T4A, so you’re generally taxed on your net profit (income minus expenses), not the gross amount on the slip. How it’s typically reported: The amount on your T4A is reported as part of your … Continue reading Other Income earned T4A

emigrating to India

Hello Mr. Sundar, Thank you for your message, and congratulations to you and your wife on your upcoming move back to India. Please note the comments below are general information only. Whether you will be considered a non-resident of Canada is based on your overall facts (especially your residential ties), not just one item in … Continue reading emigrating to India

Inheritance of Canadian Property Held by USA Resident, All Beneficiaries are also USA Residents

Hi Jeff, sorry for your loss. A couple of key points to clear up, because the “no filing/no tax unless you sell or rent” answer is often not correct in an estate situation involving Canadian real estate. 1) Canada doesn’t have an “inheritance tax,” but there can be Canadian tax at death When someone dies … Continue reading Inheritance of Canadian Property Held by USA Resident, All Beneficiaries are also USA Residents

Missed foreign income reporting from 2021-2024

Hi Rohith, Based on the facts you’ve outlined, filing T1 adjustments (T1-ADJ) for 2021–2024 is the more appropriate and proportionate approach, rather than using the Voluntary Disclosures Program (VDP). Key considerations: The unreported foreign income amounts are relatively modest. Your foreign holdings were below the $100,000 threshold, so no T1135 exposure. You became a Canadian … Continue reading Missed foreign income reporting from 2021-2024

Establish property Value Before Leaving Canada

Hi Rim, This is a very common situation, and you are right to think about it before selling rather than after. 1. How CRA determines the capital gain When you became a non-resident and began renting the property, there was a deemed disposition at the property’s fair market value (FMV) on the date you became … Continue reading Establish property Value Before Leaving Canada

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