Foreign wife transferring money to Canada after husband arrives 4 months earlier

[qbosch]

I am a Canadian. I married a Korean woman. I have lived in Korea for 19 years, and I am considered a non-resident of Canada. I suddenly just got a job in Canada. I have to leave Korea in a couple of days. My wife and two kids will move back with all our assets (about $700,000 Canadian) in four months after she is able to sell our house. We may have a shipping container full of household goods that will follow her as well. I know that it is important to declare all my money and goods coming into Canada before I enter. But I won't have the time for this. Can my wife (who is not a Canadian citizen) do this when she enters with my kids? I ask for tax purposes. I don't want to be taxed on all my assets that I have already paid tax on here in Korea.

 

[scylla]

Re: Foreign wife transferring money to Canada after husband already arrives

You have to declare the items. If your wife does it they will be taxed.

 

[canuck_in_uk]

I am a Canadian. I married a Korean woman. I have lived in Korea for 19 years, and I am considered a non-resident of Canada. I suddenly just got a job in Canada. I have to leave Korea in a couple of days. My wife and two kids will move back with all our assets (about $700,000 Canadian) in four months after she is able to sell our house. We may have a shipping container full of household goods that will follow her as well. I know that it is important to declare all my money and goods coming into Canada before I enter. But I won't have the time for this. Can my wife (who is not a Canadian citizen) do this when she enters with my kids? I ask for tax purposes. I don't want to be taxed on all my assets that I have already paid tax on here in Korea.

As scylla said, your wife would be taxed if she declared the items.

Have you and your wife started the sponsorship app yet?

 

[steaky]

I don't want to be taxed on all my assets that I have already paid tax on here in Korea.

Unless your wife is consider a "Settler", those goods will be taxed.

http://www.cbsa-asfc.gc.ca/publications/dm-md/d2/d2-2-1-eng.html

In order to consider her being a settler, you will have to sponsor her for immigration first.

-----------

However, if you don't want to be taxed, you can bring them all by yourself as "returning residents" and request customs officer to stamp your B4 form at arrival in Canada. As for money, you can wire the money to Canada.

 

[COPRQuestion]

I am a Canadian. I married a Korean woman. I have lived in Korea for 19 years, and I am considered a non-resident of Canada. I suddenly just got a job in Canada. I have to leave Korea in a couple of days. My wife and two kids will move back with all our assets (about $700,000 Canadian) in four months after she is able to sell our house. We may have a shipping container full of household goods that will follow her as well. I know that it is important to declare all my money and goods coming into Canada before I enter. But I won't have the time for this. Can my wife (who is not a Canadian citizen) do this when she enters with my kids? I ask for tax purposes. I don't want to be taxed on all my assets that I have already paid tax on here in Korea.

Slightly different advice based on my reading of the situation. But this advice is based on your wife being sponsored by you for her PR. As you are Canadian I'm assuming your Children have Citizenship through birth?

If you don't declare your goods then you wife can bring them if she is 'settling' in Canada. All goods are tax free up to a value of CAD 10,000 per item. You can actually bring any amount of money into Canada as long as you declare (especially cash) it and can show where it comes from. It's only if you don't declare it that they get upset as they think you have something to hide.

Finally, again through investigation the B4 and B4A don't seem to be used anymore, someone correct me if I'm wrong. The form to use now is BSF186 and BSF186A

Link below on the CBSA website:

http://www.cic.gc.ca/english/newcomers/before-border.asp

This page is for newcomers but if you click on the PDF you'll see that it's the same form for Settler, Former Resident, Seasonal Resident, or Beneficiary

Hope that helps.

 

[qbosch]

However, if you don't want to be taxed, you can bring them all by yourself as "returning residents" and request customs officer to stamp your B4 form at arrival in Canada. As for money, you can wire the money to Canada.

Thanks. The problem I have now is that I was suddenly offered a job and cannot sell my house yet. We know what it worth, but we may not be able to sell it for a couple of months, hence my wife returning later. If I do decalre everything, how official does the documentation need to be? Do I just need to include it on my list of household goods and money that will come later, or do I need notaries to sign documents indicating how much it is all worth?

 

[qbosch]

As scylla said, your wife would be taxed if she declared the items.

Have you and your wife started the sponsorship app yet?

No, she has not started on her residency with my sponsorship.

 

[qbosch]

Slightly different advice based on my reading of the situation. But this advice is based on your wife being sponsored by you for her PR. As you are Canadian I'm assuming your Children have Citizenship through birth?

If you don't declare your goods then you wife can bring them if she is 'settling' in Canada. All goods are tax free up to a value of CAD 10,000 per item. You can actually bring any amount of money into Canada as long as you declare (especially cash) it and can show where it comes from. It's only if you don't declare it that they get upset as they think you have something to hide.

Finally, again through investigation the B4 and B4A don't seem to be used anymore, someone correct me if I'm wrong. The form to use now is BSF186 and BSF186A

Yes, my kids have Canadian citizenship.

To be considered a settler, does my wife have to be considered a resident, or does she just need to start on her residency to be a settler?

Plus, if my wife comes into Canada later as a settler, then she can declare all our money at that time, correct?

Thanks again for all your help.

 

[COPRQuestion]

Yes, my kids have Canadian citizenship.

To be considered a settler, does my wife have to be considered a resident, or does she just need to start on her residency to be a settler?

Plus, if my wife comes into Canada later as a settler, then she can declare all our money at that time, correct?

Thanks again for all your help.

If she's going to settle in Canada rather than arriving a tourist (with or without a visa, there will be some form of time constraint on how long she can spend there) she will need to apply for Permanent Residency.

Have a look at the CIC website, sounds like to me that you'll probably opt for family sponsorship, you will be need to be approved as a sponsor first and then your wife's PR application is review. You submit both application at the same time.

Again have a look at the CIC website as it will give you the timeline on how long it takes for the whole process - be aware that some cases can take over a year.

I really wouldn't want you to take my word as gospel and I'm no professional. I would strongly advise speaking to an immigration lawyer especially when it comes to large sums of money.

Can't you just open a bank account and have the money transferred that way?

 

[qbosch]

Can't you just open a bank account and have the money transferred that way?

Got it. Thanks.

I could open a bank accound and wire it if I had the money, but we have to sell our house here in Korea first, and then wire it. Since I will be in Canada when this happens, I am trying to avoid the taxes that follow when it is wired after I have arrived.

 

[COPRQuestion]

Got it. Thanks.

I could open a bank accound and wire it if I had the money, but we have to sell our house here in Korea first, and then wire it. Since I will be in Canada when this happens, I am trying to avoid the taxes that follow when it is wired after I have arrived.

Fair enough, I didn't know they could tax it like that. I might have to look into it myself.

I'm moving from Hong Kong and we have so little tax obligations here and beginning to wonder why i'm going from a place that doesn't seem to want to tax anything to a country where every aspect is taxed to the hilt.

I've heard of some shocking attempts from CBSA to get tax on goods at the border

 

[canuck_in_uk]

To be considered a settler, does my wife have to be considered a resident, or does she just need to start on her residency to be a settler?

Plus, if my wife comes into Canada later as a settler, then she can declare all our money at that time, correct?

I could open a bank accound and wire it if I had the money, but we have to sell our house here in Korea first, and then wire it. Since I will be in Canada when this happens, I am trying to avoid the taxes that follow when it is wired after I have arrived.

She needs to actually be a PR. Just having an app submitted doesn't mean anything.

You or your wife can bring in or transfer as much money as you want to Canada whenever you want; money is not considered goods and is not taxed at the border. If you enter with more than $10000, you need to declare that to CBSA but you still won't have to pay anything. You could transfer it all now or in a month or in a year; it doesn't matter.

However, as you will have resumed your residency in Canada prior to the sale of the house, you will need to declare the sale when you file your 2016 taxes here in Canada. You may owe capital gains here in Canada, depending on the tax treaty and how much you pay in Korea.

The only way you would be able to avoid paying any tax owing from the property sale would be to commit tax fraud by not declaring it.


Also, you may want to get started on the PR application ASAP. Depending on where you are going in Canada, your wife probably won't qualify for health coverage until she is actually a PR.

 

[COPRQuestion]

She needs to actually be a PR. Just having an app submitted doesn't mean anything.

You or your wife can bring in or transfer as much money as you want to Canada whenever you want; money is not considered goods and is not taxed at the border. If you enter with more than $10000, you need to declare that to CBSA but you still won't have to pay anything. You could transfer it all now or in a month or in a year; it doesn't matter.

However, as you will have resumed your residency in Canada prior to the sale of the house, you will need to declare the sale when you file your 2016 taxes here in Canada. You may owe capital gains here in Canada, depending on the tax treaty and how much you pay in Korea.

The only way you would be able to avoid paying any tax owing from the property sale would be to commit tax fraud by not declaring it.

Wow, again some things for me to be aware of, I'd better sell my place in HK before going to Canada as I don't want to be stung for tax there. It's expensive enough to buy in Vancouver without having to pay tax upfront


Also, you may want to get started on the PR application ASAP. Depending on where you are going in Canada, your wife probably won't qualify for health coverage until she is actually a PR.

 

[steaky]

You can avoid capital gains on selling the house. Before you leave for Canada, just make your wife the sole house owner.

 

[steaky]

Wasn't it already expensive to buy a home in HK? In Vancouver, you can buy one with bigger lot for similar price.

Actually her wife can have provincial healthcare immediately if she makes home in Alberta.