Do I need to file a Canadian Income Tax Return anymore?

[Waiting in Vancouver 6]

In my Canadian Tax Return last year I stated that I had emmigrated from Canada. I lived all of 2007 in US and don't have any money or assets in banks or any other financial institute back in Canada (no house or anything).

I believe that I will not have to file a Canadian Tax Return but I wanted to be 100% sure so I decided to ask here. I feel it is better to be safe than sorry.

Thank you.

[Cassie 8]

I only filed one last income tax return to cover 2004, and then I haven't filed since. I am in the same situation as you (no assets, no pension/RRSP, no income, no property left in Canada). I do have open bank accounts, but I do not keep enough money in them to generate any amount of interest.

[trailmix 77]

Hi,

No need to file a Canadian return.

[raymaga 25]

I haven't filed a Canadian tax return since the year I moved here permanently.

I have Canadian RRSP's, but I just leave them up there collecting interest.

[Waiting in Vancouver 6]

GREAT !!

Thanks for the feedback. I was pretty sure I didn't have to file one but I wanted to be certain.

Hope all is well with everyone !!

Edited January 19, 2008 by Waiting in Vancouver

[frustrated1 0]

funny, I was thinking about this issue today. Is there a form we need to file to declare non-residency? what happens to OHIP coverage? also, if we have RRSPs that accumulate interest, doesn't that have to be declared each year?

[Flames9_RN 358]

There is a leaving canad form, BUT you are NOT required to fill it out. Sure u can if u wish and I believe it was VJ member Cassie that stated her accountant it HAS to be filled out!! I called Revenue Canada few yrs back, and they said it didnt have to be filled out!! Ur not wrong in filling it out, but why waste more time with paperwork if you do not have to!!

So how will they know u left canada?? When u file ur Cdn taxes for the year that u left, right onthe front page of the tax forms, it asks when u became or CEASED to be a Cdn resident! Plop in the date u left Canada and ur golden! Thats all I did. if they want more info, they wil contact ya!!

RRSP's You have to let ur financial instituition know when u become a non resident of canada. They wil send u paperwork to fill out. Its fine to leave them in Canada, no big deal! BUT you wil have to report those RRSP to the IRS! Using form 8891. With regards to the IRS, ur just notifying them that u have the RRSP's and the IRS doesnt charge ya any taxes on them--that is if you just leave them, but if you take them out, thats another storey. AND each state looks at the RRSP's different! Some wont charge any tax on them if you leave them in Canada, but from my understanding some States will charge ya $$$$,so one has to know your State rules!! And u have to declare ur RRSP's on form 8891 to the IRS every year.

And if yo u take the RRSP's out, Revenue Canada automatically deducts 25% off!!

Not sure exactly when ur OHIP ceases, but when ur a non resident of Canada, ur not entitled to use the healthcare! Ya, u can use it, but u will be paying for it!! makes sense, ur no longer paying taxes in Canada, so why should u be able to get the discounted fees!! Ur USA private healthcare hopefully covers you when abroad.

[JoeCanuk 3]

There is a leaving canad form, BUT you are NOT required to fill it out. Sure u can if u wish and I believe it was VJ member Cassie that stated her accountant it HAS to be filled out!! I called Revenue Canada few yrs back, and they said it didnt have to be filled out!! Ur not wrong in filling it out, but why waste more time with paperwork if you do not have to!!

So how will they know u left canada?? When u file ur Cdn taxes for the year that u left, right onthe front page of the tax forms, it asks when u became or CEASED to be a Cdn resident! Plop in the date u left Canada and ur golden! Thats all I did. if they want more info, they wil contact ya!!

RRSP's You have to let ur financial instituition know when u become a non resident of canada. They wil send u paperwork to fill out. Its fine to leave them in Canada, no big deal! BUT you wil have to report those RRSP to the IRS! Using form 8891. With regards to the IRS, ur just notifying them that u have the RRSP's and the IRS doesnt charge ya any taxes on them--that is if you just leave them, but if you take them out, thats another storey. AND each state looks at the RRSP's different! Some wont charge any tax on them if you leave them in Canada, but from my understanding some States will charge ya $$$$,so one has to know your State rules!! And u have to declare ur RRSP's on form 8891 to the IRS every year.

And if yo u take the RRSP's out, Revenue Canada automatically deducts 25% off!!

Not sure exactly when ur OHIP ceases, but when ur a non resident of Canada, ur not entitled to use the healthcare! Ya, u can use it, but u will be paying for it!! makes sense, ur no longer paying taxes in Canada, so why should u be able to get the discounted fees!! Ur USA private healthcare hopefully covers you when abroad.

After I moved here I called the Canadian government to report that I no longer lived in Canada. Gave them my U.S. address and you know what they did? Sent my tax forms to old address in Canada anyways. lol

As for RRSPs I thought you HAD to be living in Canada to have them. I thought if you emigrated, that you had to cash them out.

As for OHIP, you're right. We can't use it. But I disagree with it. I was collecting E.I. over here and paying taxes on it, thus I was technically paying taxes in Canada. I am still a Canadian citizen and thus I should be allowed to still benefit from OHIP. But the Canadian government, in it's 'wisdom' has determined that I cannot. Nobody ever accused the Canadian government of being wise though.

[Flames9_RN 358]

I can see one points about if ur claiming EI and paying taxes on it. But if ur no longer paying taxes to Canada, why should one benefit by a service that is tax payer driven? Just my 2 cents, and its not even worth that! lol

No you can leave ur RRSP's in Canada, you just have to inform ur rep that looks after them that ur no longer a resident of Canada. TD sent me a few forms to fill out. Once ur no longer a resident of Canada, you can't make any changes to the RRSP accounts, just have to leave them alonf (of course u can withdraw them) at least thats what the TD guy told me!

There is also a place on the Cnadian govt website where u can change ur address. You have to sign up for a EPASS:

https://blrscr3.egs-seg.gc.ca/gol-ged/gov/b...owserCheck.html think it asks for a certain amount that was on a certain line # of ur last tax return!!

cheers

[Reba 2]

To continue to use Canadian healthcare services after you have taken up permanent residence in another country is illegal. Yes, people do it, but that doesn't make it right. If you are found out to have used Canadian healthcare services after you have moved out of the country, they can charge you for those benefits received, plus a fine.

The system is already stretched thin as it is, having people use it who are not longer eligible just makes it worse. It is not your citizenship that determines eligibility, but residency. Legally, you are supposed to notify your provincial health office that you are leaving the province and taking up residence elsewhere.

[JoeCanuk 3]

To continue to use Canadian healthcare services after you have taken up permanent residence in another country is illegal. Yes, people do it, but that doesn't make it right. If you are found out to have used Canadian healthcare services after you have moved out of the country, they can charge you for those benefits received, plus a fine.

The system is already stretched thin as it is, having people use it who are not longer eligible just makes it worse. It is not your citizenship that determines eligibility, but residency. Legally, you are supposed to notify your provincial health office that you are leaving the province and taking up residence elsewhere.

Could you show me where I said I am using it? All I said was I disagree with it all.

Nobody told me I had to notify my provincial health office that I was leaving the province. Why is that? Never saw it mentioned on here whatsoever.

[JoeCanuk 3]

I can see one points about if ur claiming EI and paying taxes on it. But if ur no longer paying taxes to Canada, why should one benefit by a service that is tax payer driven? Just my 2 cents, and its not even worth that! lol

No you can leave ur RRSP's in Canada, you just have to inform ur rep that looks after them that ur no longer a resident of Canada. TD sent me a few forms to fill out. Once ur no longer a resident of Canada, you can't make any changes to the RRSP accounts, just have to leave them alonf (of course u can withdraw them) at least thats what the TD guy told me!

There is also a place on the Cnadian govt website where u can change ur address. You have to sign up for a EPASS:

https://blrscr3.egs-seg.gc.ca/gol-ged/gov/b...owserCheck.html think it asks for a certain amount that was on a certain line # of ur last tax return!!

cheers

Yeah but I am in the process of having my E.I. claim reactivated as I now have my EAD and haven't found a full time job. Besides that, if I have to pay taxes for last year to Canada then I am paying taxes to Canada and thus should be entitled to OHIP. Not that OHIP is particularly useful anymore compared to when I was younger.

I'm glad I closed my RRSP a couple years ago. I think it's a scam.

Thanks for the link. Gotta find my last tax return now.

[Reba 2]

I didn't say you did say you were using it, I was merely pointing out the law.

If you check the website for your provincial healthcare office, there will be information there about what you are supposed to do should you leave the province/country. On the OHIP website (I'm originally from Ontario) they state you are to send them a letter to notify them that you are no longer an Ontario resident as of your date of departure.

[JoeCanuk 3]

I didn't say you did say you were using it, I was merely pointing out the law.

If you check the website for your provincial healthcare office, there will be information there about what you are supposed to do should you leave the province/country. On the OHIP website (I'm originally from Ontario) they state you are to send them a letter to notify them that you are no longer an Ontario resident as of your date of departure.

Ok, no problem. Please accept my apology.

Thanks for the information. The problem was, I was never aware that I had to check it in the first place. Hopefully it is not too late? Do you know how long I would have to live in Ontario if I were to move there to get it back again?

[Flames9_RN 358]

RRSP's a scam how so? They are a great investment tool. And it only makes sense that one gets taxed on them if you take them out early, as you did get a tax break when you first got them!! Whats sucks for me is that i took mine out when the cdn dollar was in the .70 cent range,lol