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Tax filing in Canada as a PR while living and working in USA

I have my IELTS, ECAs done. CRS score is 453. In process of getting PCC etc. So if everything goes well, my wife and I will do the landing formality and officially start the PR clock in fall of 2019, but we still plan to live and work in the US until fall of 2021 on H1B and then move to Canada. For these two years, will we have to file for taxes in Canada along with filing in USA just because we will be Canadian PRs even though we won’t live or work in Canada yet?

Would appreciate inputs from anybody who has experienced similar situation or have knowledge about it.

You need to be a “ordinarily resident” or “tax resident” in the eyes of the CRA irrespective of whether you’re a citizen, PR, or a temporary resident of Canada. I’ve read that generally, you need to be there for 183+ days in a year and/or earn money in Canada to be considered tax resident. However there are lot of nuances and variations and being tax laws, room for unintended error. So better to consult an tax consultant. Sometimes they do give quick free advice over the phone.

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@avj yeah talking with a tax person makes sense. Could you possibly direct me to a site or something where I can find tax professionals in Canada? Also is CRA Canada’s version of IRS where I can find tax info? Sorry I am being a noob… but this kinda feels like tax 101 all over again that I went through in the US.

Yup, CRA is the Canadian tax authority. Their site is very detailed and easy to read. To file taxes just use TurboTax Canada. As for speaking with a tax professional, honestly just google and talk to a few.

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You can call any well-known tax consultants in Canada as Vikram suggested, and some of them will probably give you a free short answer to your question. Just mention that you are a PR living outside Canada.

Sorry to restart this chain again. Didn’t find exact answers to my questions.

I did my soft landing in 2019. But will be moving to Canada only in 2021. Currently living and working in the US. I will be filing my US tax returns for 2019 soon.

Do I need to file my Canadian tax returns as well ? If I don’t file my tax returns with CRA, does it affect Canadian citizenship in future ?

Please advise.

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Can someone please help ?

I am also in same situation, and from what I have found out so far based on residency requirement and Canadian income.
If you don’t have any ties with Canada (home, investments etc) + you have 0 Canadian income + spent only a few days in Canada in 2019 (soft landing), then there is no need to file for taxes.
Am like 99% sure about this based on these links:

  1. https://www.canada.ca/en/revenue-agency/services/tax/international-non-residents/information-been-moved/determining-your-residency-status.html
  2. https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/you-have-file-a-return.html

Please read through these, and let me know if you feel that my interpretation is wrong.

I agree. Based on these (CRA related links) it seems we don’t need to file taxes in Canada for 2019 :slight_smile:
But wondering if we need to file taxes with zero income just for future PR renewal/citizenship requirements.

Hoping if someone who moved to Canada after 1 or 2 years of soft landing can share their experience.