Tax Return as a newcomer in need of advice

[estceashzed]

Hello,

I arrived in Canada as a PR in January 23, 2024 and I heard that people must file their tax return by end of April. I heard in a YouTube video that if someone didn't live in Canada the previous year and landed in January this year, they don't have to file their income tax. Is that correct? I was also told by a colleague that I still have to create a CRA account and file "0".

These questions may sound dumb for some of you but I come from a country where I never had to file (or think about) taxes at ALL. This is very new and confusing to me. I also wonder If I need to keep all of my receipts of purchases (food, items, furniture, bills, etc.) as I noticed there are taxes everywhere.

Thanks for your help! please feel free to share with me any article or videos that could be helpful (beginner friendly)

 

[armoured]

Hello,

I arrived in Canada as a PR in January 23, 2024 and I heard that people must file their tax return by end of April. I heard in a YouTube video that if someone didn't live in Canada the previous year and landed in January this year, they don't have to file their income tax. Is that correct? I was also told by a colleague that I still have to create a CRA account and file "0".

These questions may sound dumb for some of you but I come from a country where I never had to file (or think about) taxes at ALL. This is very new and confusing to me. I also wonder If I need to keep all of my receipts of purchases (food, items, furniture, bills, etc.) as I noticed there are taxes everywhere.

Thanks for your help! please feel free to share with me any article or videos that could be helpful (beginner friendly)

No, you do not need to apply for previous year before you arrived.

I'd suggest either getting a physical tax return and guide and going through it and pretending you arrived january of last year. Fill it out, and see how complex.

Answer is 'not very complex' if you are salaried (have a job with an organisation in Canada). THere are, however, some things you will have to do as a new immigrant, esp if you have lots of assets / real estate abroad (you'll declare values which will serve to calculate taxes in future when you dispose of them).

You do not need to retain MOST types of expenses and receipts if you don't have your own business (if you do - things will get a lot more complicated, hire a tax accountant). You will get tax docs from your banks in Canada whwere you get income, and your job (govt will get copies separately). You may need to track some other things depending on province and whatnot, and expenses possibly for some things like education and charitable donations.

 

[estceashzed]

Thank you armoured for your reply. I appreciate it.

To clarify further, I started working recently (end of February) and I don't have any income from abroad or business of any kind.

 

[armoured]

Thank you armoured for your reply. I appreciate it.

To clarify further, I started working recently (end of February) and I don't have any income from abroad or business of any kind.

Then get the guidebook and form for 2023 and just sort of work through it to get a sense of what is what. If your situation doesn't change much, you'll not find it difficult next year. There are a few things you wont' have like the T4 (issued end of year bu employer) but you can look up online what they look like.

Note, there are some things that you can do once landed that you should do that are tax-related - do that stuff:
https://www.canada.ca/en/revenue-agency/services/tax/international-non-residents/individuals-leaving-entering-canada-non-residents/newcomers-canada-immigrants.html

You can also read up on the various ways to save money with reduced taxes (RRSP, TFSA, etc), and take your time and get informed. Some things important if you have children etc.

Since you do not need to file for the 2023 tax year, if you just get informed like this with no urgency, and with an eye to figuring out what hyou'll need next year, you'll be in a good position next spring.

 

[estceashzed]

Thanks a lot armoured! I will follow your advice by reading the guidebook and doing more research to be well prepared next year.

I highly appreciate your insights.

 

[Endriking]

I am planning to land in Canada at the end of October 2024. I am currently working in the US and not planning to work in Canada for 2024.

Do I still need to file a tax return in April 2025 for 2024 in Canada if I am filing in the US and my income is derived from the US solely.

 

[armoured]

I am planning to land in Canada at the end of October 2024. I am currently working in the US and not planning to work in Canada for 2024.

Do I still need to file a tax return in April 2025 for 2024 in Canada if I am filing in the US and my income is derived from the US solely.

Where you earn the income is not the only consideration.

The question you need to answer is when you land in October, will you be remaining in Canada? Or is this just a soft landing and you'll not be residing in Canada? Where will you be residing for remainder of 2024?