Money received after landing

[sato2]

Dear,

I am supposed to receive my pension within few months after landing. Should I declare that I will receive it later and its amount, when landing or not necessary.

Thanks

 

[PMM]

Hi

Dear,

I am supposed to receive my pension within few months after landing. Should I declare that I will receive it later and its amount, when landing or not necessary.

Thanks

You will have to declare on your Canadian income tax return. Depending on the country of source, Canada may have a tax treaty with it, so you will not be doubly taxed.

PMM

 

[ei8ht]

but PM, i didn't declare anything while landing, except the above 10000 i was carrying. and over the last few months quite some monies were wired to my scotiabank ac. no one asked me anything till now. will that be a red flag later?

 

[PMM]

Hi

but PM, i didn't declare anything while landing, except the above 10000 i was carrying. and over the last few months quite some monies were wired to my scotiabank ac. no one asked me anything till now. will that be a red flag later?

Ah but the bank did, google Fintrac.

PMM

 

[sato2]

Thank you!

I was more interesting on what to do on landing. Should I tell them that I will be receiving some money later or not?
I will ask my bank what I must do when I received the money. Of course the money will be taxed in the country of origin.

thanks again

 

[PMM]

Hi

Thank you!

I was more interesting on what to do on landing. Should I tell them that I will be receiving some money later or not?
I will ask my bank what I must do when I received the money. Of course the money will be taxed in the country of origin.

thanks again

You don't have to do anything. Just report the money as income on your Canadian tax return and you can probably claim the taxes that you have already paid. It is actually a job for a tax accountant. If it is a monthly pension there is also a Canadian tax deduction for pension income.

PMM

 

[toby]

Since thre seemed to be some confusion about your question, Sato2, let me wade in here.

On landing, you declare only the cash you are carrying with you (above $10,000). Income you will receive later, once in Canada, is handled two ways. Yes, your bank will inform FINTRAC as it receives wire transfers into your account. The bank may also ask you for more information about the source of the funds, including perhaps asking or a declaration from a source bank.

Pensions received from offshore will be taxed in your Canadian tax return, and there is a place in the return to state taxes paid in the source country -- which reduces your tax payable to Canada.

If -- as PMM says -- there is no tax treaty between Canada and the source country, you may be taxed twice on this income. This is where a good international tax accountant might be useful. Otherwise, just follow the Guide for your tax return. Or, better yet in my opinion, buy QuickTax. For about $40 it simplifies the tax return immensely.

Welcome to taxanada.

 

[sato2]

Thank you all and thank you Toby your answer was very straightforward.
cheers

 

[zygurn]

I apologize but I need to hijack this thread for a question of my own. There's a tax in my country that I can collect back if I leave the country for good, ie. leaving to Canada, but I can't collect it till I have the PR card. It isn't my intention to return and collect it as soon as I get the PR card but I'm sure I will collect it eventually since it can only be done face to face. Should I declare this money in the tax return once I collect it? It's really not much, like $800 at the time of writing (since the currency is very likely to be devaluated soon). Also, money gifts from my parents (in a future after landing) should be declared in tax return as well? My country doesn't have a tax treaty with Canada either but these two things aren't taxable over there either.

 

[PMM]

Hi

I apologize but I need to hijack this thread for a question of my own. There's a tax in my country that I can collect back if I leave the country for good, ie. leaving to Canada, but I can't collect it till I have the PR card. It isn't my intention to return and collect it as soon as I get the PR card but I'm sure I will collect it eventually since it can only be done face to face. Should I declare this money in the tax return once I collect it? It's really not much, like $800 at the time of writing (since the currency is very likely to be devaluated soon). Also, money gifts from my parents (in a future after landing) should be declared in tax return as well? My country doesn't have a tax treaty with Canada either but these two things aren't taxable over there either.

1. You would have to report the $800 as income, you don't have to report gifts.

PMM

 

[toby]

Let's pause on the $800 before rushing to pay taxes on it.

Why is it being returned to you?

If it was a bond or some other after-tax money you deposited, and now it is being returned to you, it is not income per se but rather a "return of capital", and not taxable.

So, if you'll explain the original source of the money, we can give better advice. In any event, $800 is not going to generate much tax.

 

[Suin]

I plan to transfer some money (about $5000) to my Canadian account from my home one - this money is just my savings. do I need to pay tax on it?

 

[PMM]

Hi

I plan to transfer some money (about $5000) to my Canadian account from my home one - this money is just my savings. do I need to pay tax on it?

No.

PMM

 

[Suin]

thank you for your reply, PMM. is there any way to prove that this money is not my income? as I heard they will make me to enter them into my this year taxes filing.

 

[Karlshammar]

You have to report any interested earned and pay taxes on that, but you don't have to pay taxes on your own money that you just moved from one bank to another.

thank you for your reply, PMM. is there any way to prove that this money is not my income? as I heard they will make me to enter them into my this year taxes filing.