What Are The Tax Implications Of Leaving The Country?
Residency: A fundamental element of the Canadian income tax
system
Some friends of mine are preparing to leave Canada for various
professional and personal reasons. As a tax specialist, they ask me
about the possible tax implications of leaving the country. Here is
a general explanation of the concept of "residency," and
how it affects the taxation of those who become non-residents.
Non-residents are generally only subject to pay tax on
Canadian-sourced income, which can include wages, business income,
rental revenue, and gains from the disposition of taxable Canadian
property (e.g. Canadian real-estate). A discussion of Canadian
tax issues facing non-residents is beyond the scope of this
article.
