Can i sponsor my parents with my world wide income ?

[dildaraldoski]

Hi all , and thanks in advance for any help

Can I apply this year to sponsor my parents? please find below my story :

I'm a Federal skilled worker.

2015. Landed for 3 weeks and returned home

2016.Stayed in Canada for 2.5 months ( wife stayed for 4.5 months). during that period neither of us worked in canada.

2017. My wife Moved Permanently to Canada at November and I will move permanently at end of January 2018. I already secured a Job at Canada and will start at July/2018

During the years 2015,2016,2017 I had a Job at my home country that is more than the minimum amount of Income required to sponsor my parents. during the 2018 year my canadian income will still be above the required income.

MY question is could I apply to sponsor my family ? is it possible for me to file taxes for the previous 3 years as a permanent resident even if I did not live in canada permanantly in order to get the NOC ( notice of assessment ) ?

from what I understood in order to sponsor parents you should provide this as a proof of income ? can I use other alternative to proof that i had income during the past 3 years from my home country or the income source should be from canada ?

Thanks for your help , any person who have information about my situation is highly appreiated​

201

 

[scylla]

CIC only accepts Canadian Tax Returns as proof of income. Alternate proof is not accepted. You need three Canadian Tax Returns.

 

[Rob_TO]

Income must be earned while you were physically living in Canada. So you do not qualify.

If you have Canadian income for 2018, 2019 and 2020... you can possibly apply to lottery in 2021.

 

[dildaraldoski]

Income must be earned while you were physically living in Canada. So you do not qualify.

If you have Canadian income for 2018, 2019 and 2020... you can possibly apply to lottery in 2021.

Thanks sycylla and rob

I will actually may need to apply taxes for the past 3 years! I still need to double check with a tax expert on this , because my wife used her health card during 2016 ( as she gave birth in Canada) and also during 2017 she landed permanently in November and we are expecting another baby at 2018 hopefully . so if the tax expert told me I'm considered a resident for those years and I end up paying taxes on my world income , does this enable me to sponsor my parents?

In other words if I pay taxes to canada for the past 3 years on my world income due to ties to canda like giving birth using health card and having a bank account , can i apply for parents?

 

[HeyKenGuy]

Thanks sycylla and rob

I will actually may need to apply taxes for the past 3 years! I still need to double check with a tax expert on this , because my wife used her health card during 2016 ( as she gave birth in Canada) and also during 2017 she landed permanently in November and we are expecting another baby at 2018 hopefully . so if the tax expert told me I'm considered a resident for those years and I end up paying taxes on my world income , does this enable me to sponsor my parents?

In other words if I pay taxes to canada for the past 3 years on my world income due to ties to canda like giving birth using health card and having a bank account , can i apply for parents?

CIC doesnt care if you have paid taxes or not on income from other countries, they require a the income to come from Canada

 

[dildaraldoski]

CIC doesnt care if you have paid taxes or not on income from other countries, they require a the income to come from Canada

Could you please tell me where is this law mentioned , I only read that the person should be filing taxes to proof he have income? I would be grateful if you could copy the link in your answer

thanks

 

[nayr69sg]

Could you please tell me where is this law mentioned , I only read that the person should be filing taxes to proof he have income? I would be grateful if you could copy the link in your answer

thanks

The proof of income that CIC will ask for is your NOA for the required tax years.

Since Canada taxes worldwide income, that should not be a problem if you filed your taxes. However if the amount on your NOA that you filed does not include your worldwide income then that would be a problem of course.

I have so far not seen anything that says that the income earned must be from Canada. It's about how much you earned full stop. And of course you SHOULD have declared how much you earned worldwide when filing taxes.

 

[dildaraldoski]

Thank you for your reply , This is my understanding also , there is nothing that says that the income should be earned inside canada ?

The proof of income that CIC will ask for is your NOA for the required tax years.

Since Canada taxes worldwide income, that should not be a problem if you filed your taxes. However if the amount on your NOA that you filed does not include your worldwide income then that would be a problem of course.

I have so far not seen anything that says that the income earned must be from Canada. It's about how much you earned full stop. And of course you SHOULD have declared how much you earned worldwide when filing taxes.

 

[dildaraldoski]

Just another question , Is it ok that I file taxes even i'f i'm not considered a tax resident?

during 2015 , we only stayed for 3 weeks and returned home.

my wife lived in 2016 for 4.5 months and I lived for 2.5 months. and my wife used health card during our child birth

in 2017 also my wife used card at november and december .

one accountant told me I do not have to file taxes for theses years but i'm going to check with another as i'm afraid because my wife used her health card we might have to file.

The main reason of my concern is of course not for the sake for the sponsorship application but because i want to make a correct start at canada and also during citizenship i understood that you should filed your taxes correctly to apply .
thanks

The proof of income that CIC will ask for is your NOA for the required tax years.

Since Canada taxes worldwide income, that should not be a problem if you filed your taxes. However if the amount on your NOA that you filed does not include your worldwide income then that would be a problem of course.

I have so far not seen anything that says that the income earned must be from Canada. It's about how much you earned full stop. And of course you SHOULD have declared how much you earned worldwide when filing taxes.

 

[Rob_TO]

Thank you for your reply , This is my understanding also , there is nothing that says that the income should be earned inside canada ?

Yes it's stated clearly in the OP manuals. See here:
https://www.canada.ca/content/dam/ircc/migration/ircc/english/resources/manuals/ip/ip02-eng.pdf
5.30. Financial requirements
The financial test is needed to prove that sponsors can support sponsored persons for the period of the undertaking. For more details, see Minimum Necessary Income Requirement: Low-Income Cut-Off levels (LICO), section 5.32, Exception to Minimum Necessary Income Requirement, section 5.33 and Low Income Cut-Off and Quebec Income Scale, Appendix F.

Financial resources:
• may include the resources of the sponsor’s spouse or common-law partner if the sponsor’s financial resources are inadequate and the sponsor’s spouse or common-law partner declares their resources as income on their Canadian tax return and they co-sign the undertaking.
• cannot include pooled resources from other relatives to meet the income test.

Financial resources must originate from Canadian sources for the following reasons:
• employment income abroad is not a reliable indicator of future or stable employment in Canada.
• CPC staff cannot easily verify if foreign income can be transferred to Canada.
• converting foreign income into Canadian dollars is resource-intensive.
• in cases of default, collection and litigation, it is easier to recover income from Canadian sources. For more information, see: Exceptions to the Canadian income rule, section 5.31.

5.31. Exceptions to Canadian income rule
The exceptions to the Canadian income rule are as follows:
• sponsors who commute from Canada to work in the U.S.A. can use their U.S. employment income provided it is declared as income on their Canadian income tax return;
• sponsors living in Canada who declare income from foreign sources on their Canadian tax returns, can use this foreign income to meet the financial requirements for sponsorship.

Discretionary approval of financial requirements is not possible.

 

[nayr69sg]

Just another question , Is it ok that I file taxes even i'f i'm not considered a tax resident?

during 2015 , we only stayed for 3 weeks and returned home.

my wife lived in 2016 for 4.5 months and I lived for 2.5 months. and my wife used health card during our child birth

in 2017 also my wife used card at november and december .

one accountant told me I do not have to file taxes for theses years but i'm going to check with another as i'm afraid because my wife used her health card we might have to file.

The main reason of my concern is of course not for the sake for the sponsorship application but because i want to make a correct start at canada and also during citizenship i understood that you should filed your taxes correctly to apply .
thanks

First let me state that I am not an accountant so it is best that you ask your accountant on what is the best way to proceed.

However I do know that regardless of whether you earned any income that is taxable by CRA or not, you should file a tax return with CRA for every tax year. Did you do this? Because it sound like you did not. You should ask your accountant about this difference. If you were a PR during that year you should at least file a tax return.

I also know that if you and your family had not been living in Canada during that year and that all your income was earned outside of Canada, you could declare that your economic centre was outside of Canada and thus not pay any Canadian tax on your income. nevertheless you still have to file a tax return that reflects this.

Check with your accountant again with this information in mind.

Rob_TO has provided clarification (thanks). I'm guessing that on your NOA where you declare a foreign country as your economic centre, it will not count towards the LICO requirements. (Fairly since you also won't have paid any Canadian taxes during that time)

 

[dildaraldoski]

[
5.31. Exceptions to Canadian income rule
Dear rob

Thanks for the link , very informative , dosent the below sentence means that if i declare my world wide income (if my the tax accountant told me i should file) then I could sponsor them ?

Thanks


The exceptions to the Canadian income rule are as follows:
• sponsors who commute from Canada to work in the U.S.A. can use their U.S. employment income provided it is declared as income on their Canadian income tax return;
• sponsors living in Canada who declare income from foreign sources on their Canadian tax returns, can use this foreign income to meet the financial requirements for sponsorship.

 

[dildaraldoski]

Thanks NAYR69SG

I dont think earning income from outside of canada mean you dont owe taxes to canada , a friend of mine told me that i SHOULD FILED TAXES TO CANADA ! because of using the health card ! even if me or my wife did not live for more than 6 months in a specific year!

I will double check with another tax expert once i reach canada BUT MY QUESTION IS IF I END UP FILING TAXES AND DECLARING My INCOME BACK HOME AS TAXABLE DOES THIS MEAN I could sponsor according to the last paragraph of ROB link where it says there is an exception for the source of income ? !

THANKS

Rob_TO has provided clarification (thanks). I'm guessing that on your NOA where you declare a foreign country as your economic centre, it will not count towards the LICO requirements. (Fairly since you also won't have paid any Canadian taxes during that time)[/QUOTE]

 

[Buletruck]

You've stayed just over 3 months in Canada in the last 3 years.....that's not living in Canada..

 

[nayr69sg]

Thanks NAYR69SG

I dont think earning income from outside of canada mean you dont owe taxes to canada , a friend of mine told me that i SHOULD FILED TAXES TO CANADA ! because of using the health card ! even if me or my wife did not live for more than 6 months in a specific year!

I will double check with another tax expert once i reach canada BUT MY QUESTION IS IF I END UP FILING TAXES AND DECLARING My INCOME BACK HOME AS TAXABLE DOES THIS MEAN I could sponsor according to the last paragraph of ROB link where it says there is an exception for the source of income ? !

THANKS

Rob_TO has provided clarification (thanks). I'm guessing that on your NOA where you declare a foreign country as your economic centre, it will not count towards the LICO requirements. (Fairly since you also won't have paid any Canadian taxes during that time)

[/QUOTE]

You should file a tax return no matter whether you think you need to pay taxes or not. CRA will decide.

Anyway my bad, I didn't read your first post. So it looks like you have only lived in Canad for 3 months in the past 3 years? I cannot remember cos I filled the application form back in Dec 2016 but is there a section that asks for where you have lived in the past 3 years? and that there is a residency requirement in addition to the LICO?

Rob?