If they believe you have maintained significant ties, you will not become a non-resident. You get a lawyer and you file for a ruling before you go. If you do not they can say you did naughty lying things, collect all back taxes, with interest, and penalties. YOU NEED TO SEE A LAWYER AND GET IT IN WRITING.
I have no interest in "becoming a non-resident". My interest is in making sure i remain a tax resident of Canada and do NOT ever "become a non-resident" for Canadian tax purposes. Even if i decide to and end up living outside of Canada for 100 consecutive years & never set foot in Canada for a century.
Hun, the internet is full of contradictory opinions. I doubt the Dominion of Canada cares what you "rather". The tax act can be found on-line. Unless you spend hundred of hours studying law it will probably not be a document the average person can understand. Go see a lawyer. If you cannot afford a lawyer here is no benefit to becoming a non-resident.
The CRA and lawyer dumbed down publications & interpretations for the public are online. No need to read crook er lawyer speak in ancient King James Bible blabology.
I'm not interested in "becoming a non-resident" for tax purposes, but avoiding that should i decide to physicly reside outside of Canada and never touch ground in Canada again for 1, 2, 3, 5, 10, 20, 30 or a million years. That way you can finally be rid of me for good & live in eternal bliss on your sailboat.
lenny you have to , apply for non-resident status. It is not something that happens to you. Not something the government does to you. Period. If you are really concerned just contact the Canadian Tax people by email and keep the response.
Actually, here's what can "happen to you" if you leave Canada:
"If you also establish residential ties in a country with which Canada has a tax treaty, and you are considered to be a resident of that country, you may be considered a deemed non-resident of Canada for tax purposes."
"...If you leave Canada to settle in another country and you sever significant residential ties with Canada, we consider you to be a non-resident for tax purposes, unless you are a deemed resident."
http://www.cra-arc.gc.ca/E/pub/tg/t4131/t4131-e.html#P137_11754
You do not "have to apply for non-resident status" to have it "happen to you" or for the CRA to consider you a tax non resident of Canada:
"If your circumstances change, you may no longer be a factual resident.
"For example, you may decide to stay permanently in the country where you are working, sell your house in Canada, and move your spouse or common-law partner and dependent children with you (severing all residential ties with Canada).
"In such a case, we would usually consider you to be an emigrant for tax purposes for the year that you sever your residential ties. For the rules that apply to you for that year, see Guide T4056, Emigrants and Income Tax.
"For all following years, you will be considered as a non-resident of Canada. For more information, read Are you a non-resident?"
http://www.cra-arc.gc.ca/E/pub/tg/t4131/t4131-e.html#P137_11754
According to the CRA you, the taxpayer, need to determine what your own status (resident or not) is:
"While you are outside Canada, it is important that you know your residency status. Before you complete your Canadian income tax and benefit return, you need to determine if you are a factual resident, a deemed resident, a non-resident, or a deemed non-resident of Canada.
http://www.cra-arc.gc.ca/E/pub/tg/t4131/t4131-e.html#P137_11754
If you need help in determining your status, so you can know whether to file as a resident or non resident, they will help you:
"If, after reading this pamphlet, you are still not sure of your residency status, complete Form NR73, Determination of Residency Status (Leaving Canada), and send it to the International Tax Services Office as soon as possible. We will give you our opinion of your residency status based on the information you provide.
http://www.cra-arc.gc.ca/E/pub/tg/t4131/t4131-e.html#P137_11754
"Non-residents and income tax
"In the year you leave Canada, you are considered to be an emigrant for tax purposes. See Guide T4056, Emigrants and Income Tax, for the tax rules that apply for that year.
"For all following years, if your situation does not change, you will be considered a non-resident."
http://www.cra-arc.gc.ca/E/pub/tg/t4131/t4131-e.html#P137_11754
"If you left Canada during 2012 to settle in another country, and you are considered to be an emigrant of Canada for income tax purposes, this guide will explain the income tax rules that apply to you. It will also help you understand the tax implications of becoming a non‑resident."
http://www.cra-arc.gc.ca/E/pub/tg/t4056/t4056-e.html
If you do not trust lawyers, what the heck makes you think Internet sources are more trust worthy?
Internet sources include the opinions of lawyers, as in articles on the subject of residency, CRA publications, etc.
Why should i trust in one high priced crook er lawyer alone, when many other sources are available to me for free?
At 7% tax I would suspect you would have little or no benefit from becoming a non-resident. The lawyer just advises you. Only a fool would start filing as a non-resident without having had a ruling before they leave. Just go! Go be a tourist. WTF is the issue? If yo are that concerned over $20k you are not in the income range where non-resident status becomes interesting. It costs a LOT more than that to safely become a non-resident
Either i'm a non resident for tax purposes or i'm not. If i am, then i should file as such.
I have no interest in "becoming a non-resident". I am trying to avoid that like the plaque & do things the way they've always been done.
The "issue" is learning my proper designation (resident, non resident, etc) for tax purposes & filing correctly as such, and if failing to do so, any payments with the associated interests and penalties that i might be subjected to by the CRA. I'm not interested in any surprises down the road. Again, the chess grandmaster looks at the game far beyond just the next move.
Go see a good tax lawyer. If you really are concerned and are too poor call the government tax toll-free number and ask if they can declare you non-resident without your consent. End of story end of conversation.
Either i am or i'm not non resident. Their declaring it or my consent won't change that. But if they found out someone was non resident and filing as a resident, there could be serious consequences.
My tax people charge about $100 a year to do my taxes. I think i read somewhere for no extra fee this includes year round help, so they may be able to confirm that i'll be considered a tax resident of Canada for as long as i leave the country, which seems to be supported by the following:
"If you left Canada in 2012 and keep residential ties in Canada, you are usually considered a factual resident.
However, if you are also considered to be a resident of another country with which Canada has a tax treaty, you
may be considered a deemed non resident. Deemed non residents are subject to the same rules as emigrants.
For a list of countries with which Canada has tax treaties, see Tax treaties. For more information, contact us.
"...When do you become a non‑resident?
"When you leave Canada to settle in another country, you usually become a non‑resident for income tax purposes on the latest of the following dates:
•the date you leave Canada;
•the date your spouse or common‑law partner and dependants leave Canada; or
•the date you become a resident of the country to which you are immigrating.
"...Generally, you become a deemed non‑resident at a time when your residential ties in the other country are such that, under the tax treaty between Canada and that country, you are considered to be a resident of that country and not of Canada."
http://www.cra-arc.gc.ca/E/pub/tg/t4056/t4056-e.html
However if you wish to hire a "good tax lawyer" to get a judgement on that matter, feel free, as with your alleged many millions that would just be a drop in the bucket, & might serve to convince some people here that your story is for real.
I'll post what my tax people say after recieving their reply.
