Child tax benefit outside of Canada?

[SenoritaBella]

Perhaps you should learn to have a difference of opinion without being disrespectful and also read and understand before you lash out. What part of "and if eligible for it why not" did you not understand?

If you spend 183 days of every calendar year in Canada, you ARE a resident of Canada. Where does it say you must be living in Canada?

4. Can I get the Canada child tax benefit?
To be eligible, you must meet all the following conditions:

•you must live with the child, and the child must be under the age of 18;
•you must be primarily responsible for the care and upbringing of the child;
•you must be a resident of Canada; and
•you or your spouse or common-law partner must be a Canadian citizen, a permanent resident, a protected person, or a temporary resident who has lived in Canada for the previous 18 months, and who has a valid permit in the 19th month.

Senorita, you missed my point. If they are not living in Canada, they are not Residents of Canada and are therefore not eligible for the Child Tax Benefit. If they somehow do maintain residency in Canada to be eligible (as you stated), then they should also be paying income tax in Canada. You can't have it both ways, and perhaps you should consider not putting such foolish and illegal ideas in peoples heads.

 

[Leon]

If you spend 183 days of every calendar year in Canada, you ARE a resident of Canada. Where does it say you must be living in Canada?

The poster is not going to be spending 183 days a year in Canada as they are planning on leaving soon and be gone for a year, see:

Hi I am receiving childtax benefit of my 2 daughter's and they are canadian citizen, I have permanent residence card here and my husband is canadian citizen, We are currently leaving in Canada right now, my question's are if I have a plan to stay outside Canada for a year, can I still recive a child tax benefit there through my direct deposit bank account?

The answer to the posters question is that if they have a plan to stay outside for a year, they should contact CRA and notify them that they are moving. If CRA decides that they are still eligible for child tax benefit, that's one thing but it would be wrong to try to just continue to get it and hope you don't get caught. If CRA stops their payments because they notified them they are moving, they have a clear conscience and once they are back, they can apply for child tax benefit again.

 

[torontosm]

Perhaps you should learn to have a difference of opinion without being disrespectful and also read and understand before you lash out. What part of "and if eligible for it why not" did you not understand?

If you spend 183 days of every calendar year in Canada, you ARE a resident of Canada. Where does it say you must be living in Canada?

4. Can I get the Canada child tax benefit?
To be eligible, you must meet all the following conditions:

•you must live with the child, and the child must be under the age of 18;
•you must be primarily responsible for the care and upbringing of the child;
•you must be a resident of Canada; and
•you or your spouse or common-law partner must be a Canadian citizen, a permanent resident, a protected person, or a temporary resident who has lived in Canada for the previous 18 months, and who has a valid permit in the 19th month.

Senorita, perhaps you should take your own advice and read and understand posts before commenting. The original poster clearly indicated that they would out of Canada for a year. As a result, they would not be considered a resident. And, even if my some loophole they could keep their residency status, they would be taxed on all income earned anywhere in the world. People seem keen to try and receive the child tax and other benefits without ever considering paying income tax on foreign income, and this is a clear abuse of the system. As an honest tax-payer in Canada, I am tired of it and do not appreciate people encouraging this behaviour or clouding the issue on forums such as this.

 

[Lutin]

I found many answers here incorrect and some very disrespectful, to not say almost racist. A CRA's publication entitled "Canadian Residents Abroad" clearly states that, I quote:

«You are a factual resident of Canada if you keep significant residential ties in Canada while living or travelling outside the country. The term factual resident means that, although you left Canada, you are considered to be a resident of Canada for tax purposes.»

Regarding the Canada child tax, the Universal Child Care and the provincials benefits:

The Canada child tax benefit
«If you are eligible to receive the Canada child tax benefit (CCTB), you will continue to receive it and any related provincial or territorial benefits to which you are eligible during your absence from Canada. However, you will have to file a return each year so we can calculate your CCTB. If you have a spouse or common-law partner, he or she will also have to file a return each year.»

The universal child care benefit
«If you are eligible to receive the universal child care benefit (UCCB), you will continue to receive it during your absence from Canada. The UCCB payments are usually taxable to the spouse or common-law partner with the lower net income.»

All you need to do is filling up your taxes and state all your income, including what you earned abroad.

 

[steaky]

All you need to do is filling up your taxes and state all your income, including what you earned abroad.

That is if you file your tax return as a "resident".

 

[torontosm]

I found many answers here incorrect and some very disrespectful, to not say almost racist.
All you need to do is filling up your taxes and state all your income, including what you earned abroad.

There is nothing racist about any of the answers...perhaps you need to look up the word racist and try to understand what it really means.

Your references are entirely in line with what has already been said. If you want to receive the child tax benefit, you have to be a resident for tax purposes. To be a resident for tax purposes, you have to pay tax in Canada on all of your global income. You can't have it both ways (i.e., receive benefits here without paying any tax).

 

[virgiemaricel]

My kids and I will go to US and stay there for 3 months to visit my mother. Do I still have to inform CRA about our upcoming 3-month absence in Canada?

 

[Hasher]

My kids and I will go to US and stay there for 3 months to visit my mother. Do I still have to inform CRA about our upcoming 3-month absence in Canada?

What the harm if you do that, nothing.

 

[ArleneAlejandra]

I´m a Canadian citizen and I also have some questions regarding child tax benefits and other benefits, income tax, residential ties, etc.

I have been reading alot about what do we have to do when leaving Canada for tax and benefit purposes and it´s all quite confusing. People advise different things. My plan is to buy a house in Mexico and move there. I will start my own business and be self employed. I still plan to come back to Canada and work temporarly here as well, since I do not want to lose ties all together with Canada. I am a single mother of 2 children ages 11 and 8 years old. I have read about residential ties in Canada, fractual resident, non resident, etc. I am confused because some say I can still recieve benefits if I file my income tax every year even if I do not live in Canada for most of the year. My children of course will be coming with me and will be living in Mexico most of the year too. Only summer time will be spent in Canada. I do not want to make any mistakes that later will have concecuences, but a lot of Canadians and non Candians have so many misconceptions or have really no idea about their status and how this affects their benefits and tax purposes. Some say you must live in Canada to recieve benefits and some say you can still receive benefits when living outside of Canada as long as you file your taxes?

I do not have a house in Canada, I know I will lose my health insurance if I stay more than 183 days away from Canada, I do not have a drivers license. All I would have as "residential ties " are my bank accounts in which I recieve direct deposits. I will come and stay with my relatives at their home when I come back to Canada to work temporarily. My idea is to live In Mexico most of the year and come to Canada for a few months only (summer time).

So my questions would be:

1. What would my status be? Fractual resident or non resident?

2. If I have a business outside of Canada, do I have to report this in my income tax?

3. If I report this as universal income each year, can I still recieve child tax benefits, GST/HST, etc.

4. If my status is a non resident I do not have to pay taxes in Canada?

5. What can I do to still receive child tax benefit and GST/HST even if I´m not living in Canada but do report income and pay taxes? Or how do I pay taxes while living outside Canada?

This is where I got some of my information. But a lot of people confuse me because they keep telling me I will lose my benefits as soon as I leave Canada. As a working single mother, the child tax benefit is a big help so I just want to be sure I do things right and not have any "bad" consecuences after and not lose any benefits I can be entitled to.

I found this info in a website:

The extra mile

What about the Canada Child Tax Benefit?
If you are eligible to receive the Canada Child Tax Benefit (CCTB),
you will continue to receive the CCTB and any benefits and
credits from related provincial or territorial programs to which
you are eligible during your absence from Canada. However, you
and your spouse or common-law partner will have to file returns
each year so we can calculate your CCTB.

I hope you can shed some light in my confusion and help me understand the process and what do I have to do before I leave. We plan to leave next summer and we live in BC.

 

[on-hold]

The answer to all of these questions is very simple -- call up RC, describe what you are doing, and ask them what you are eligible for, where you file taxes, and what benefits you can receive. They'll tell you.

I think it's interesting that suggesting to someone they may not be eligible to receive a government benefit is interpreted as racism. Several months ago I participated in a highly unpleasant thread that was started when one poster (FSW applicant) wrote asking if they could count on receiving ~400 dollars per child plus scholarships. I mentioned that the first was based upon their income of the previous year no matter where they were, and the latter depended on the province and the amount of money they had in the bank (which had to be enough to land, and which records the government would access when determining means). This was enough to make some people extremely angry . . .

 

[torontosm]

4. If my status is a non resident I do not have to pay taxes in Canada?

5. What can I do to still receive child tax benefit and GST/HST even if I´m not living in Canada but do report income and pay taxes? Or how do I pay taxes while living outside Canada?

I agree with on-hold that you should probably call the CRA to get the answers. However, my understanding based on this (http://www.cra-arc.gc.ca/bnfts/cctb/fq_qlfyng-eng.html#q4) is that you have to be residing in Canada to be eligible for the CCTB, regardless of what your tax status is or whether you are paying universal income tax.

 

[ArleneAlejandra]

Yes, I think what I will do is call the CRA, explain exactly what I want to do, fill out the NR73 form and they will tell me what to do and if I will be entitled to receive any benefits at all or not. CRA I think is the only one who can clarify any doubts. But most likely I will not be entitled to receive any benefits since I am not living in Canada (and it makes sense in a way) and I need to be sure about univeral income, paying taxes, tax refunds, etc.

Thanks for your suggestions.

 

[upset]

If you are staying outside of Canada temporarily then you are still resident of Canada for tax purposes because you are not severing your ties with Canada (you will have probably home, family ties, accounts, and intention to return to Canada). As you will be considered resident for tax purposes you will have to file income tax return and also be eligible for all benefits including child tax benefit.
If you plan to stay permanently or for very extended period of time (6 month and over) then you most probably will not be considered resident for tax purposes. And to prove otherwise will be problematic. Since you will not be considered resident you may not do your Canadian income tax but also will not be eligible for all benefits including Child Tax Benefits.

 

[carinacarina]

Yes, I think what I will do is call the CRA, explain exactly what I want to do, fill out the NR73 form and they will tell me what to do and if I will be entitled to receive any benefits at all or not. CRA I think is the only one who can clarify any doubts. But most likely I will not be entitled to receive any benefits since I am not living in Canada (and it makes sense in a way) and I need to be sure about univeral income, paying taxes, tax refunds, etc.

Thanks for your suggestions.

i know this has been a long time since u have posted this im just wondering if u ever found out and got an answer as to what u were entitled too?? im actually going through the same thing...

 

[ayesharobaid]

CRA has the worst tax system that I have ever seen. I was visiting abroad and had to stay abroad due to an emergency, my mom had been diagnosed with schizophrenia and I had to care for her so I ended up staying there for 2 years. The first year I was getting the child tax benefits, I was entitled to those because I had paid my taxes and filed a return like any other citizen. The second year I filed my tax return with no income and informed them that I was out of the country. I still kept receiving the benefits and now I am back in Canada so the CRA decides to ask for all of the payments back and if I don't pay them back they will take over my assets and bank accounts??? Canada revenue agency is fine with alcoholic bums and drug addicts eating their money for free but citizens who have worked their lives, they are the ones that screwed over for a mistake they did not make.
I am now unemployed , 7 months pregnant, with a 3 year old to support , no source of income or receiving any benefits on top of that I now have to pay CRA $10,000...