Everything posted by BobC
You are reimbursed up to more or less the amount that they would have paid for the same thing in Canada--although I think Ontario, for instance, will only reimburse something like $50 a day for hospital. (But you have to pay up front and claim back so need to have a line of credit, or credit card with a good limit.) So, getting sick in Mexico is at least not the disaster it is to get sick or injured in the US because Mexico is not so expensive. The problem is that if you drive down, you can buy relatively cheap insurance for that leg in the US. BUT, all trips must originate in Canada, so in order to be covered for the drive back, you need to cover yourself for the entire time you are away. One company to look into is called Travel+Med out of Quebec. We got a really good deal with them. But costs depend on so many things-- age, etc.--that you can't say one is cheaper than another. Another to look into is Travel Underwriters in Richmond BC. They actually provide the coverage for CAA, Presidents Choice and many others. Another is Medipac. They cover all retired military and civil service people but also offer coverage to others. All can be accessed online. A word of caution, however: You must not tell the slightest lie or innacuracy on the application. If they find out, it is grounds to deny any claim. Bob
For a non-resident, which it sounds like you are, only Canadian-sourced income is taxable and, for a resident of Mexico, that would be at the rate of 15%. Withholding that would be the responsibility of your employer. How, exactly, that would be remitted, is another question. Presumably, their accountant would be able to advise them. I'm sure it wouldn't be exactly the same as for a Canadian resident. How it is done if you are self-employed, I don't know. When I was working, we used to occasionally bring in Americans to speak to seminars and courses. We were not their "employer" per se but we were still responsible for collecting and remitting the 15% on their fees. They would then be able to credit that money towards their US taxes paid under the terms of the tax treaty. If you wanted to be squeaky-clean, I would think the same would apply in Mexico--that is, you would have to report the income to Mexican authorities, but would get credit for the taxes paid in Canada. But Mexican tax law may be different. It certainly does sound like a situation where you need some professional advice or at least some information from the Canadian government. Maybe the consulate in Guadalajara can help.