How the CRA treats snowbirds

You can escape the cold, but you can’t escape taxes.

CRA taxes snowbirds as though they never left Canada. So when filing taxes, those who fly down south for the winter should remember to:

– Report all income from sources inside and outside Canada through the year

– Claim all deductions that apply

– Claim federal and provincial or territorial non-refundable and refundable credits that apply

– Pay federal and provincial or territorial tax in their place of residence

– Apply for the GST/HST credit and provincial credits

The rules don’t apply to American citizens or those who have permanent resident status in the United States, but U.S. taxes could apply instead.

Learn more:

Got Snowbirds? Check these tax changes

New U.S. rules snowbirds need to know

Should snowbirds live in the U.S.?

Does your client have U.S. tax risk?

Residency rules snowbirds need to know

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.