Child Benefit for outside Canada Parent

[CitizenSoon]

A friend of mine is a permanent resident and is living outside Canada with the common-law partner since 13 months but still pays for the lease of the place in Canada, works overseas for a Canadian company and of course pays the tax. They plan to submit sponsorship application (outbound) in a few months. Recently, they got a baby. Would like to know
1- Can the common law partner be added to the tax?
2- Is my friend eligible to apply for the child benefit as a primarily responsible?

 

[Wakki]

can update marital status when filing for tax.

Canada child benefit - Before you apply

 

[canuck78]

Is your friend saying full tax on their salary like they would if they were living in Canada? If not they are not eligible for child benefit. That is why most families on qualify if they are living in Canada.

 

[CitizenSoon]

Is your friend saying full tax on their salary like they would if they were living in Canada? If not they are not eligible for child benefit. That is why most families on qualify if they are living in Canada.

Yes, paying full tax.
I found the guide and determining an individual residence status, but I can't determine which case applies to my friend.

Guides and help

• T4114 - Canada Child Benefits pamphlet

One of the conditions:
You must be a resident of Canada for tax purposes. We consider you to be a resident of Canada when you establish sufficient residential ties in Canada. For more information, see Income Tax Folio S5-F1-C1, Determining an Individual's Residence Status.

 

[canuck78]

Yes, paying full tax.
I found the guide and determining an individual residence status, but I can't determine which case applies to my friend.

Guides and help

• T4114 - Canada Child Benefits pamphlet

One of the conditions:
You must be a resident of Canada for tax purposes. We consider you to be a resident of Canada when you establish sufficient residential ties in Canada. For more information, see Income Tax Folio S5-F1-C1, Determining an Individual's Residence Status.

Not sure why you are doing this for your friend. When they apply CRA will determine if they qualify based on whether they are a resident for tax purposes.

 

[canuck78]

Just wanted to clarify that they can't use their Canada address as their primary address. They have to be upfront that they are living outside Canada.

 

[US-CAN_Love]

A friend of mine is a permanent resident and is living outside Canada with the common-law partner since 13 months but still pays for the lease of the place in Canada, works overseas for a Canadian company and of course pays the tax. They plan to submit sponsorship application (outbound) in a few months. Recently, they got a baby. Would like to know
1- Can the common law partner be added to the tax?
2- Is my friend eligible to apply for the child benefit as a primarily responsible?

I've just had a long and winding discussion with CRA about child benefits and applications. The big question is who the woman is, due to the female presumption rule. If it is a same sex couple, I have no idea how it works. If your friend is a woman, then very likely yes, they can apply as the primary, no questions asked. If your friend is a man, then your friend's common-law partner can apply, and is eligible due to their partner/other parent being a PR/citizen (alternatively, they can write and state that they are not the primary caregiver). If this is the latter case, then they should be able to get a temporary tax number from CRA, allowing them to apply (and you'd need to declare your combined world income).

The issue is going to have to do with residency. If your friend has been filing taxes as a resident (and not a non-resident), and especially since they kept significant ties to Canada and work for a Canadian company, then they should be able to get CCB.

 

[canuck78]

A friend of mine is a permanent resident and is living outside Canada with the common-law partner since 13 months but still pays for the lease of the place in Canada, works overseas for a Canadian company and of course pays the tax. They plan to submit sponsorship application (outbound) in a few months. Recently, they got a baby. Would like to know
1- Can the common law partner be added to the tax?
2- Is my friend eligible to apply for the child benefit as a primarily responsible?

Not sure why you are asking all sorts of questions for various friends but it is really hard to know all this information about a friend. They should be really asking for themselves if they want the best answer. In general it is pretty rare for PRs/citizens to work abroad, not rent out their properpty for over a year and pay taxes when hey don't have to.

 

[US-CAN_Love]

Not sure why you are asking all sorts of questions for various friends but it is really hard to know all this information about a friend. They should be really asking for themselves if they want the best answer. In general it is pretty rare for PRs/citizens to work abroad, not rent out their property for over a year and pay taxes when hey don't have to.

The issue isn't so much about renting, it's about residency. I spoke with the CRA department responsible for for administering the CCB last week for almost an hour. They were pretty friendly, phone number: 1-800-387-1193. No point trying to defraud CRA, more likely to blow up in your face. For example, they might see your situation, and change your residency status to non-resident, as your partner and child (and you) live abroad, requiring you pay back benefits available only to residents (e.g. CCB or GST/HST refund). What's worse is that you might think you got away with it, but then a few years later they might review your file and require you pay back benefits.

 

[canuck78]

The issue isn't so much about renting, it's about residency. I spoke with the CRA department responsible for for administering the CCB last week for almost an hour. They were pretty friendly, phone number: 1-800-387-1193. No point trying to defraud CRA, more likely to blow up in your face. For example, they might see your situation, and change your residency status to non-resident, as your partner and child (and you) live abroad, requiring you pay back benefits available only to residents (e.g. CCB or GST/HST refund). What's worse is that you might think you got away with it, but then a few years later they might review your file and require you pay back benefits.

They may be nice but they are often wrong so get what they tell you in writing. A good general rule with most government hotlines. The story just doesn't make a ton of sense. Also whether this is a consultant or an actual friend most people don't have the entire story.

 

[CitizenSoon]

@US-CAN_Love Yes, you are right.
@canuck78 Not a consultant, this is the complete story.