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Permanant resident

Hi Everyone. I hope someone can help me.

I have a client who came to Canda in July with his wife. They both got their PR but the wife went back to her homeland in September to work and be with their children. (because of the negative remarks about the children I will rephrase that the wife went back to her homeland with their children) The husband work in Canada. When they came to Canada, in August they opened a bank account In both their names. and deposited $$ into each account. I asked him if they reported this money to immigration he said no because they did not ask. and he did not have the money on him at the time of entry :woman_facepalming:t3:.
So my question is do I need to report the wife’s income on his return? Also, do I file a return for her because she is now a PR? So her income is only being used in her homeland, she has sent her husband some money to help him out. Do I need to know that amount and claim it?

Oh also do I need to report the children they do not live in Canada right now but they were registered with the parents when they did their PR.

So many questions for this tax return I usually have the answers but this one has me a bit stumped.

Thank you in advance for your help
Sherry Emery

Tax Treaty?
Other Facts?
They are so “Permanent” they they forgot to bring their kids when they immigrated?

Everybody’s worldwide income to be taxed in Canada, copies of any foreign tax returns to be obtained, etc
The wife alleges that she is PR of Canada, so she is to file a Canadian Tax return on all her worldwide income,
All income to be cross-referenced on both the T1s

They cannot scam the Canadian Income Tax system by pretending to be one thing for one purpose, and another thing for a different purpose.
ITA and Tax Treaty would rule.

Thread here may cover some of your issues, but your peoples facts seem to be different…

He can’t claim the children if they don’t live in Canada with him
If she is not in Canada make sure you put that in her return ( where was she on Dec 31st, 2019?)

Basically it will be his Canadian income, her as a dependent ( basic amount minus her world income)

I hope this helps

Regards

Maira


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                20-04-06, 03:07:09 p.m.
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I’d need a lot more info as well one point to consider is that filing her as a non-resident will probably void her PR. This is an immigration problem rather than tax per se but something to consider as well.

@joe.justjoe1
not anywhere in my question does it say they are trying to scam the government.
I am asking questions so he does his return correctly. As a foreigner, I do understand if the question was not asked he would have not known to volunteer information.
Thank you for your help and information.

@gresillas Thank you that is what I thought I was just wanting to make sure my thoughts were correct and that things have not changed it has been a couple of years that I have had to so a return for someone who’s spouse lives here and the other spouse is still in their homeland. I will also look it up to see if their country falls under the tax treaty. I think it doesn’t ( Africa )?

@laurie I dont think I would file her as a non-resident? as of December 31 I will say where she lived. Thank you for this reminder. I will look into all of this info

Based on the OP, the wife is resident for tax purposes and has to file and pay canada tax on worldwide income

I would not assist her (or him) to scam the Canada income tax system (or immigration system) either by failing to file, or by reporting incorrect information. Yes, hopefully they are desiring to file correctly.
I would ask for a huge amount more of documentation before taking any different position, including foreign tax returns and the tax treaty (There is no such country as “Africa”, so you would need to investigate quite a bit further to drill down). But that’s just me…
Ignorantia juris non excusat

I don’t know about Africa I prepare taxes for Non Residents from latin america
But yes look for the tax treaty

Good luck… you are going to learn something new for sure!!

Cheers


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                20-04-06, 03:49:40 p.m.
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She is a non resident for tax purposes, if she wasn’t here for over 180 days. The immigration status for CIC is not the same as for CRA, I have a lot of customers that are not permanent residents for CIC and they are for CRA, there is a form called determination of residency, it is long but maybe you should fill it and reading it will answer a lot of your questions


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                20-04-06, 03:55:55 p.m.
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@gresillas
“She is a non resident for tax purposes, if she wasn’t here for over 180 days.”

Sorry, that is not correct

The NR74 is not the legislative determination, but rather just a helpful fact-gathering tool.(And not to mention that people fill it out incorrectly all the time…) :frowning:

I usually send that form to CRA, there are a lot of factors that will determine that, but because of the dates she provided she wasn’t here for 6 months, probably she is a deemed non resident

6 months has got nothing to do with it, based on the OP.

She has been Canada Tax resident since July 2019, based on the OP facts, as far as I can see…