With immigration and tax laws regularly changing, many people find it difficult to separate fact from fiction. As immigration and tax consultants, M&K CPAs LLP wants to counter any misconceptions about Canadian tax and arm you with the most accurate information. To avoid trouble with the CRA and be better prepared, we have answered three of the most widely believed myths about Canadian tax.
Myth 1: I need to file a declaration to CRA to become a non-resident for tax purposes.
Whether you are a tax resident of Canada depends on your factual situation and tax treaty instead of by filing a “declaration” to CRA. In fact, there is no such “declaration” except you should indicate on the tax return the date that you leave Canada and pay the so-called “departure tax”. Our tax consultation service can analyze your particular situation and explain to you the relevant tax law and tax treaty.
Myth 2: I left Canada, and I don’t have to pay Canadian tax now.
Canadian tax law is complex, and there are many circumstances in which you might still be liable to tax in Canada, even if you are living outside Canada.
Our Chartered Professional Accountant can review your particular situation and inform you about your tax obligation in Canada.
Myth 3: I am immigrating to Canada, and I only need to worry about Canadian tax after arriving in Canada.
By the time you “land” in Canada, you will likely become a tax resident of Canada and be subject to Canadian tax, which can be as high as 50%. There are a lot of tax issues that you need to consider before coming to Canada to avoid unnecessary tax.
Our CPA is also a licensed Canadian Immigration Consultant who is specialized in pre-immigration tax consultation. We can provide a full tax consultation introducing Canadian tax rules and even recommend tax planning opportunities to you.
We serve clients in Hong Kong and Toronto, Mississauga, Hamilton, Brampton, Scarborough, Richmond Hill, Markham in Canada.
To learn more about how we can help you, visit our website by clicking here. If you have any questions about the Canadian tax or our services, we would love to hear from you. Please contact us here.