Net Investment Income Tax (NIIT)
The NIIT is a tax at the rate of 3.8% that is applied to many different investments and is assessed on trusts, estates and individuals if their income is above the statutory threshold amounts. Individuals who are exempt from Medicare taxes,
11.2.2 Canadian Interpretation of the Treaty
11.2.2[a] Article XI(1) – Residence-based Jurisdiction to Tax Article XI(1) confirms the jurisdiction right of Canada to impose tax on the interest arising from the U.S. sources and paid to a Canadian resident. Secondly, Article XI(1) defines the scope of payments that
CRA Interest and Penalties
Interest CRA will charge you compound daily interest on any unpaid amounts you owe. In addition, CRA will charge you interest on the penalties starting the day after your filing due date. Rate of interest CRA charges can change every three
Part XIII Tax
Part XIII tax is a withholding tax imposed on certain amounts you pay or credit to non-residents. These amounts include: Pensions, annuities, management fee, estate or trust income and payments for film or video acting services. You are responsible for withholding
Electing under Section 216 of the Income Tax Act
What is a section 216 return? As a non-resident of Canada, one can choose to file a separate income tax return for rental income earned in Canada. Choosing to send this return is called electing under section 216 of the income
Beware of the red flags when you cross border to enter U.S
Always have a valid passport or a passport equivalent identification. If a passport is likely to expire during the six-month visitor visa status can be grounds for a refusal to enter the United States. Travelling with U.S immigration documents such as completed
Non Resident Rental Income tax filing requirements
Non-Residents Rental Income Filing and Reporting Requirements When you receive rental income from real or immovable property in Canada, the payer, such as the tenant, or agent, such as the property manager, has to withhold non-resident tax at the rate of 25% on the gross rental income
Financial Literacy resources for New Canadians
In case you have just immigrated to Canada. You would know that it is a great country, which offers plenty of opportunities for all. However having migrated to anew country you need to get familiar with it. You must get
Financial Literacy resources for New Canadians
In case you have just immigrated to Canada. You would know that it is a great country, which offers plenty of opportunities for all. However having migrated to anew country you need to get familiar with it. You must get
Saving for your retirement: Why it’s important?
When we are young, and might have just started earning, most of us do not seem to understand the importance of saving for our retirement. Thus when we are in our 20s or 30s it is hardly seen on the