Q.1148 When must new PR

holder start filing tax returns in

Canada

Question: Dear Sir, I am an Indian national working in singapore for past 15 years as Permanent resident. Recently got Canadian Pr. I have a huge amount of S$ in my Singapore CPF account and as Fixed deposits in India in NRE(Tax free) account..I will be landing in canada by early next year. Since I intend to retain my Singapore PR till its expiry 2025 or till i get Canadian Citizenship whichever earlier. I have a few questions to clarify: 1. I intend to transfer all my S$ from singapore to Indian NRE account by 2025, in that case do i need to declare and pay tax to canada,if yes, start from which year? 2.Since all these earnings are before i get Canadian PR(already taxed in Singapore) can i choose not to show when i file for Canadian Tax? Please Opine..Thanks With Kind Regards Answer: Income earned in Singapore or anywhere else in the world prior to your decision to move to Canada may not be subject to taxes in Canada. Please be aware that taxation in Canada does not depend entirely on citizenship but on the person’s residency status in Canada. Several factors can be used to determine a person’s ties with a country to determine tax residency status, for instance time spent living in Canada, assets held in Canada, having a home in Canada, purchasing a car in Canada, holding a Canadian provincial health benefit card etc. When a person becomes a resident of Canada for tax purposes, they are required to report their worldwide income. This would be any income from within Canada or from out of Canada. Depending on the source and type of income, Tax agreements such as DTAA if foreign income is involved, may allow the individual to avoid paying tax on the same income in two countries.

Are you a resident for tax purposes in

Canada?

Generally a person becomes a resident when they arrive in Canada to live. A person who has applied for and received permanent residency status from Citizenship and Immigration Canada may be considered a resident for tax purposes. The Canadian tax authorities have a simple form that people can fill to help determine if they are considered a Canadian tax resident or not. This form is called Form NR74. By filling and submitting Form NR74 individuals can get an opinion from the tax authorities on their tax residency. There is a fillable Form NR74 available on the Canada Tax website. The link to the form is: https://www.canada.ca/content/dam/cra- arc/formspubs/pbg/nr74/nr74-fill-s-17e.pdf In case the link does not work, for the convenience of visitors of this page a copy of this form can be viewed on this website by clicking HERE.