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Permanent residency obligation and income tax filing requirements

R

r4iui

Member
Dec 5, 2022
14
0
Hello everyone,

During the pandemic years of 2020 and 2021, CRA brought in international tax law relief. One of them: if that number of days stayed in Canada exceeds 183 days, CRA will still not treat this towards tax residency for U.S. residents.

Many moved from US to Canada during the pandemic and worked for US companies remotely. From CRA's website, such persons are not considered Tax residents of Canada and need not declare US income in canada.

But the PR renewal application form asks for declaration that one needs to give them access to Income Tax information. Does not filing tax in 2020, 2021 as canadian residents (for tax purposes) affect the Permanent Resident Obligation? Why are they asking for Income Tax information for PR renewal process?
 
P

Ponga

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Oct 22, 2013
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r4iui said:
Hello everyone,

During the pandemic years of 2020 and 2021, CRA brought in international tax law relief. One of them: if that number of days stayed in Canada exceeds 183 days, CRA will still not treat this towards tax residency for U.S. residents.

Many moved from US to Canada during the pandemic and worked for US companies remotely. From CRA's website, such persons are not considered Tax residents of Canada and need not declare US income in canada.

But the PR renewal application form asks for declaration that one needs to give them access to Income Tax information. Does not filing tax in 2020, 2021 as canadian residents (for tax purposes) affect the Permanent Resident Obligation? Why are they asking for Income Tax information for PR renewal process?
Click to expand...
The box for consent (for both CBSA and CRA) are optional.
 
Last edited:
R

r4iui

Member
Dec 5, 2022
14
0
Ponga said:
The box for consent (for both CBSA and CRA) are optional.
Click to expand...
But how does IRCC view tax non-residency in determination of Permanent Resident Obligation being met? Is physically being present in Canada not sufficient to meet Permanent Resident Obligation?
 
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Ponga

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Oct 22, 2013
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r4iui said:
But how does IRCC view tax non-residency in determination of Permanent Resident Obligation being met? Is physically being present in Canada not sufficient to meet Permanent Resident Obligation?
Click to expand...
The only requirement to maintain PR status, is a minimum 730 days in Canada (or abroad if accompanying a Canadian spouse) for each rolling 5-year period.

If you declare that you have been in Canada for at least 730 days, I suggest allowing consent to the CBSA travel history being shared with IRCC. You do not even have to provide any supporting evidence (things listed on Appendix A, which include, but are not limited to, CRA docs), as those are for PRs that have been outside of Canada for more than 1095 days.

https://www.canada.ca/en/immigration-refugees-citizenship/services/application/application-forms-guides/guide-5445-applying-permanent-resident-card-card-first-application-replacement-renewal-change-gender-identifier.html#5445E5

If your total time spent outside Canada is less than 1095 days, you appear to meet the residency requirements.


If your total time spent outside Canada excluding reasons A, B or C, is equal to 1095 days or more, you may not meet the residency requirements.


If you have time spent outside of Canada as per situations B and C, please complete question 5.6 to provide the relationship of this person to you and their immigration status.


You may wish to proceed to question 5.7 to include any other information related to your personal circumstances that you feel would justify the retention of your PR status, if you appear to not be meeting your residency obligation. See Appendix A for more information on meeting the residency obligation.
 
R

r4iui

Member
Dec 5, 2022
14
0
Ponga said:
The only requirement to maintain PR status, is a minimum 730 days in Canada (or abroad if accompanying a Canadian spouse) for each rolling 5-year period.

If you declare that you have been in Canada for at least 730 days, I suggest allowing consent to the CBSA travel history being shared with IRCC. You do not even have to provide any supporting evidence (things listed on Appendix A, which include, but are not limited to, CRA docs), as those are for PRs that have been outside of Canada for more than 1095 days.

https://www.canada.ca/en/immigration-refugees-citizenship/services/application/application-forms-guides/guide-5445-applying-permanent-resident-card-card-first-application-replacement-renewal-change-gender-identifier.html#5445E5

If your total time spent outside Canada is less than 1095 days, you appear to meet the residency requirements.


If your total time spent outside Canada excluding reasons A, B or C, is equal to 1095 days or more, you may not meet the residency requirements.


If you have time spent outside of Canada as per situations B and C, please complete question 5.6 to provide the relationship of this person to you and their immigration status.


You may wish to proceed to question 5.7 to include any other information related to your personal circumstances that you feel would justify the retention of your PR status, if you appear to not be meeting your residency obligation. See Appendix A for more information on meeting the residency obligation.
Click to expand...

As per sec 28 of the Immigration and Refugee Protection Act ( https://laws-lois.justice.gc.ca/eng/acts/i-2.5/section-28.html ) , you are completely correct.

But this is the language used in the PR Card Renewal Application :
By selecting "Yes" in the box below, and by signing this form, I hereby give my consent to the Canada Border Services Agency to disclose of my history of entries into Canada to Immigration, Refugees and Citizenship Canada (IRCC) in order to assist IRCC in determining my eligibility for a PR card or a PRTD. I also hereby authorize IRCC to disclose my income tax information and residency information for any taxation years required to assist in determining whether I meet the residency obligation as set out in section 28 of the Immigration and Refugee Protection Act.

my income tax information and residency information for any taxation years required to assist in determining whether I meet the residency obligation - this language concerns me.
 
R

r4iui

Member
Dec 5, 2022
14
0
Ponga said:
The only requirement to maintain PR status, is a minimum 730 days in Canada (or abroad if accompanying a Canadian spouse) for each rolling 5-year period.

If you declare that you have been in Canada for at least 730 days, I suggest allowing consent to the CBSA travel history being shared with IRCC. You do not even have to provide any supporting evidence (things listed on Appendix A, which include, but are not limited to, CRA docs), as those are for PRs that have been outside of Canada for more than 1095 days.

https://www.canada.ca/en/immigration-refugees-citizenship/services/application/application-forms-guides/guide-5445-applying-permanent-resident-card-card-first-application-replacement-renewal-change-gender-identifier.html#5445E5

If your total time spent outside Canada is less than 1095 days, you appear to meet the residency requirements.


If your total time spent outside Canada excluding reasons A, B or C, is equal to 1095 days or more, you may not meet the residency requirements.


If you have time spent outside of Canada as per situations B and C, please complete question 5.6 to provide the relationship of this person to you and their immigration status.


You may wish to proceed to question 5.7 to include any other information related to your personal circumstances that you feel would justify the retention of your PR status, if you appear to not be meeting your residency obligation. See Appendix A for more information on meeting the residency obligation.
Click to expand...
Tax residency and immigration residency will always confuse people.
 
R

r4iui

Member
Dec 5, 2022
14
0
Also, do you know how to upload photo for the online application - i see in the forum that people are having trouble.

Should one, go to the studio, get the photo printed on paper (photopaper) and scan it to upload (since it asks for front and rear)

Front and rear does not exits if one is directly uploading in the digital format.
 
P

Ponga

VIP Member
Oct 22, 2013
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Sorry, but could you elaborate on your situation?

Were you previously working in the U.S. in-person, or remotely from Canada, prior to the border closure to foreign nationals?

The 2020-2021 Administrative Relief seems to have been geared to a foreign national that was, in essence, stuck in Canada and could not return to their employer's location in the U.S., right? If you were previously working in the U.S., were you accompanying a Canadian spouse to be able to have those days count towards your R.O.?
 
R

r4iui

Member
Dec 5, 2022
14
0
I consulted a CPA and they were the ones who suggested to use the relief and we went down that path. There are special provisions for those working in-person in the US before border closure. There are also provisions which state that " you can be in Canada because the Canadian govt recommended all Canadians to return to Canada" -for safety during pandemic.
After border closures remote work was performed from Canada owing to the situation.
 
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