Notice of Assessment indicating I am non-resident will there be issues sponsoring my wife?

[Sandhar7]

Hi All,

I am going to sponsor my wife for PR. One of the Mandatory document for the application is Notice of Assessment (NOA) which I am waiting from last 2 months as this is my first year filing taxes in Canada.
I got a response letter from CRA stating they have assessed my tax and will send NOA soon but I my tax is assessed as "non-resident" due to below reason -
"We have assessed your 2018 return to reflect your resident status as a non-resident of Canada as your significant residential ties were to India during the year.
We do not dispute that you were living and working in Canada during the year, but your most significant residential ties were maintained in India.
In Canada, residency for income tax purposes is based on residential ties. Typically, an individual is determined to be a resident of Canada on the date that they sever residential ties with their previous country of residence and establish them with Canada. Primary residential ties include, your spouse, dependant(s), and dwelling. Since your spouse and dependants resided in India during the year under review, you are considered a non-resident of Canada for income tax purposes."

I got the PR in Aug 2017
Moved to Canada in Feb 2018 and went back to my home country (India) and got married in Dec 2018. So when I filed taxes my marital status is Married.

Will this mention of "Non-Resident" of Canada create a negative impact on the application. I have been working since Feb 18 and have my pay stubs and employement letter as proof.

Kindly help with your expertise.

thanks.

 

[k.h.p.]

You need to be in Canada to sponsor your spouse. This will need to be explained in your application, and you won't be able to leave Canada and stay in India for extended periods of time in order to be with your spouse. A short trip of 2-3 weeks seems to be acceptable but not much more than that.

 

[21Goose]

Hi All,

I am going to sponsor my wife for PR. One of the Mandatory document for the application is Notice of Assessment (NOA) which I am waiting from last 2 months as this is my first year filing taxes in Canada.
I got a response letter from CRA stating they have assessed my tax and will send NOA soon but I my tax is assessed as "non-resident" due to below reason -
"We have assessed your 2018 return to reflect your resident status as a non-resident of Canada as your significant residential ties were to India during the year.
We do not dispute that you were living and working in Canada during the year, but your most significant residential ties were maintained in India.
In Canada, residency for income tax purposes is based on residential ties. Typically, an individual is determined to be a resident of Canada on the date that they sever residential ties with their previous country of residence and establish them with Canada. Primary residential ties include, your spouse, dependant(s), and dwelling. Since your spouse and dependants resided in India during the year under review, you are considered a non-resident of Canada for income tax purposes."

I got the PR in Aug 2017
Moved to Canada in Feb 2018 and went back to my home country (India) and got married in Dec 2018. So when I filed taxes my marital status is Married.

Will this mention of "Non-Resident" of Canada create a negative impact on the application. I have been working since Feb 18 and have my pay stubs and employement letter as proof.

Kindly help with your expertise.

thanks.

No, the tax residency doesn't matter. For the purposes of sponsoring your wife, your actual physical presence is what counts. As long as you were and continue to be physically present in Canada, you will be eligible to sponsor your wife.

 

[canuck78]

Assume you returned to India much earlier than December and spent less than 6 months in Canada. If you are a PR you must be in Canada to sponsor family and meet RO requirements.

 

[Sandhar7]

You need to be in Canada to sponsor your spouse. This will need to be explained in your application, and you won't be able to leave Canada and stay in India for extended periods of time in order to be with your spouse. A short trip of 2-3 weeks seems to be acceptable but not much more than that.

I went for 4 weeks (since it was my wedding so that is justifiable?). I came back on Dec 25, 2018. I have employment records, phone bills, pay stubs etc. to prove I reside in Canada. So I just need to write a letter explaining why I am marked as Non Resident on tax return right?

 

[Sandhar7]

Assume you returned to India much earlier than December and spent less than 6 months in Canada. If you are a PR you must be in Canada to sponsor family and meet RO requirements.

Yes I am PR and full time employee in Canada. I went for 4 weeks in Nov - Dec 18 and came back on Dec 25, 18.

 

[canuck78]

Yes I am PR and full time employee in Canada. I went for 4 weeks in Nov - Dec 18 and came back on Dec 25, 18.

Very strange that you would be assessed as non-resident for tax purposes if you spent 9-10 months working in Canada in 2018 and were single. Makes no sense to me.

 

[Sandhar7]

Very strange that you would be assessed as non-resident for tax purposes if you spent 9-10 months working in Canada in 2018 and were single. Makes no sense to me.

Yeah man. Stupid clauses. It bas to do with the ties back in home country. That's strange.

And I only got married in Dec 18.

 

[canuck78]

Yeah man. Stupid clauses. It bas to do with the ties back in home country. That's strange.

And I only got married in Dec 18.

Whoever assessed this is wrong you are a Canadian tax resident.

 

[Sandhar7]

Whoever assessed this is wrong you are a Canadian tax resident.

This is the explanation
"In Canada, residency for income tax purposes is based on residential ties. Typically, an individual is determined to be a resident of Canada on the date that they sever residential ties with their previous country of residence and establish them with Canada. Primary residential ties include, your spouse, dependant(s), and dwelling. Since your spouse and dependants resided in India during the year under review, you are considered a non-resident of Canada for income tax purposes."

this is so conflicting, you need Notice of Assessment to file for Residency of your wife while it says you are non resident tax Payer because your spouse is not in Canada.

As per the explanation above I am non-resident "Permanent Resident" [how simple].

@canuck78 if you are saying they assessed it wrong, should I appeal or something?

 

[canuck78]

This is the explanation
"In Canada, residency for income tax purposes is based on residential ties. Typically, an individual is determined to be a resident of Canada on the date that they sever residential ties with their previous country of residence and establish them with Canada. Primary residential ties include, your spouse, dependant(s), and dwelling. Since your spouse and dependants resided in India during the year under review, you are considered a non-resident of Canada for income tax purposes."

this is so conflicting, you need Notice of Assessment to file for Residency of your wife while it says you are non resident tax Payer because your spouse is not in Canada.

As per the explanation above I am non-resident "Permanent Resident" [how simple].

@canuck78 if you are saying they assessed it wrong, should I appeal or something?

Someone made a mistake in my opinion. @scylla @canuck_in_uk thoughts?

 

[canuck_in_uk]

Someone made a mistake in my opinion. @scylla @canuck_in_uk thoughts?

I'd say it was assessed incorrectly.

This is the explanation
"In Canada, residency for income tax purposes is based on residential ties. Typically, an individual is determined to be a resident of Canada on the date that they sever residential ties with their previous country of residence and establish them with Canada. Primary residential ties include, your spouse, dependant(s), and dwelling. Since your spouse and dependants resided in India during the year under review, you are considered a non-resident of Canada for income tax purposes."

this is so conflicting, you need Notice of Assessment to file for Residency of your wife while it says you are non resident tax Payer because your spouse is not in Canada.

As per the explanation above I am non-resident "Permanent Resident" [how simple].

@canuck78 if you are saying they assessed it wrong, should I appeal or something?

There is no need to appeal. You can submit a residency determination to CRA. If they decide the non-resident determination is incorrect, they will re-assess.