Question regarding Canadian Taxes

[J.Miller]

Actually I have two questions.  First: we are about to start our tax returns and e-file them as usual, however we have been told this afternoon that it is not possible to file this way.  We have been doing it for years without any trouble; has something changed that would prevent us from e-filing?  Next question: we have a friend who wants to hire someone in the Chapala area to do her's and her husband's Canadian tax returns.  I know that there are at least a couple of people offering the service as I have seen it advertised, but of course, now that I need to lookup the information, I cannot find the advertisement.  Can anyone recommend someone and provide an address and telephone number? 

[Oatsie]

Question One:    Go to Studiotax web page and download the FREE software that allows you to e-file your Cdn. taxes.

Studio Tax

If you have a CRA "My Account" Studio Tax will automatically go to your account and automatically fill in the amounts on your Studio Tax return.

Canadian Revenue Agency - My Account

Good luck...

Question Two....  No idea...

 

 

 

[dave0415]

Tax Preparers who live outside of Canada cannot be licensed to Efile Tax Returns. Non-Resident tax returns have to be paper filed. The question now is whether or not you are a resident or a non-resident. Generally any person who lives outside of Canada for more than 183 days a year is considered to be a non-resident for tax purposes. Unless, of course there are reasons that the CRA would consider you to be a resident

As a non-resident one is not allowed to partake in heavily subsidized healthcare, no GST, HST credits, no provincial benefits and of course you cannot split pensions.

There was a married couple who some years ago went to China as missionaries. They left behind their children with duly appointed guardians and continued to file returns as though they lived in Canada collecting GST credits, childcare benefits and free healthcare. When they returned to Canada they found they owed between 18 and 20,000.00 dollars for benefits they were not entitled to collect. This was just 3 or 4 years ago.

I have been a professional Tax Preparer for 27 years, the first 20 of which I was a licensed Efiler and since coming to Mexico have dutifully filed paper returns for non-residents. Do I like it, no, but there are just too many tax treaties to computerize every one. All non-resident returns are assessed by hand.

If you would like an honest opinion of your Canadian Tax Status, please PM me and we can arrange a sit down discussion and you will get my honest professional opinion as to your Canadian Tax Status.

Oatsie: Studio tax is NETFILE not EFILE. Semantics yes but anyone can netfile their own tax return but to become a registered Efiler one must meet a number of requirements. That is because an Efiler files other peoples tax returns and must meet certain conditions.

 

 

[Out1]

So much bad info on this webboard. We have lived here 10 years but also consider ourselves Canadian residents for so many issues as we own property in Canada, have bank accounts and drivers licences,

[dave0415]

7 hours ago, Out1 said:

So much bad info on this webboard. We have lived here 10 years but also consider ourselves Canadian residents for so many issues as we own property in Canada, have bank accounts and drivers licences,

I must remember to tell that to the Lakeside resident who is currently paying off a 12,000.00 debt for non-residency tax problems  and ignored advice from others.

The contents of my post cover facts that are readily available on the CRA web site. Bank accounts and drivers licenses do not count towards Canadian residency status, certain types of property and dependents  resident in Canada can contribute to residential ties.

The fact remains that CRA International determines whether you are a resident or non-resident of Canada for tax purposes. Not you. It is far more complicated than you may think. Depending on your income you may actually pay significantly less tax as a non-resident.

By way of closing, if you feel my information does not meet your needs, that does not make it bad information. If you wish to "fly under the wire" with CRA then do so. That is up to you. I wish you all the luck! I hope you have a good tax lawyer.

[gimpychimp]

9 hours ago, Out1 said:

So much bad info on this webboard. We have lived here 10 years but also consider ourselves Canadian residents for so many issues as we own property in Canada, have bank accounts and drivers licences,

You can "consider yourself" to be anything you want, but that doesn't make it correct. As dave0415 said, CRA decides whether you are a resident or non-resident. After 10 years living here do you hang on to your Canadian healthcare illegally too, as numerous people do, since you "consider yourselves Canadian residents"?  Dropping in to see the doctor once a year when they visit their kids, to maintain a semblance of Canadian residency?  People do that too, but that doesn't make it right and if they ever get caught at it there will be penalties to pay. You're right that here is some bad info on this web board, but what dave0415 said doesn't fall into that category. The fact that you own property in Canada doesn't make you a resident. If you don't "live" here, and only spend winters here, that's different.