Job Discussion Forums

Willy_In_Japan · Joined: 20 Jul 2004 Posts: 329

MikeL seems to be arguing that if you are physically out of the country, .......ie living in Japan, that you CANNOT be determined to be a resident of Canada. I think he is misinterpreting the rules.

If you have too many ties, it doesn't matter where you LIVE MikeL, you are a RESIDENT of Canada for tax purposes. You will have to pay Canadian taxes. Since in this case you ALSO are a physical resident of Japan, you will have to pay Japanese taxes.

The tax treaty ensures that you wont be double taxed. You wont pay more tax than you owed if you were a physical resident of Canada. You seem to refuse to believe that anyone can be living outside of Canada and be considered a Resident of Canada for tax purposes and owe money to Revenue Canada. Obviously you think you are right, and won't be swayed. However, you are dead wrong. It happens. Could someone who has too many ties to Canada (ie a house family etc) and is deemed a resident for tax purposes of Canada despite living in Japan please speak up and prove to MikeL that you exist?

Mike L. · Joined: 28 Feb 2003 Posts: 519

Really Willy?

Have you ever met or even heard of anyone in such a predicament?

Have you ever had any trouble with them?

I've been here six years and never have.

I have property and numerous ties back and have not had an iota of trouble for Revenue Canada.

What you speak of is hypothetical. Not all all bourne out by reality and the experience(s) of several long term Canaidans I know here.

This stuff about the Japanese government reporting on us to the Canadian government is beyond the pale.

Gordon · Joined: 28 Jan 2003 Posts: 5309 Location: Japan

Mike L. · Joined: 28 Feb 2003 Posts: 519

Mike L. · Joined: 28 Feb 2003 Posts: 519

Mike L. · Joined: 28 Feb 2003 Posts: 519

.....

Mike L. · Joined: 28 Feb 2003 Posts: 519

Read above..

Gordon · Joined: 28 Jan 2003 Posts: 5309 Location: Japan

Mike,　he does not have non-residency because he has too many ties in Canada (a wife and house). It doesn`t matter if he spends 20 years in Japan, he will have to pay taxes upon his return to Canada and he knows that.

Celeste · Posted: Thu Apr 28, 2005 2:09 am Post subject:

Leave it to a bunch of Canadaians to get in a heated debate about doing their taxes properly!! (Oh wait, I'm one of them...)

I think this kind of discussion is good because it opens our eyes to the grey areas of our tax situation, as well as encourages everyone to get educated and not blindly hope for the best in their dealings with the CRA.

Keep up the informative debate guys!

Mike L. · Joined: 28 Feb 2003 Posts: 519

Gordon · Joined: 28 Jan 2003 Posts: 5309 Location: Japan

JimDunlop2 · Joined: 31 Jan 2003 Posts: 2286 Location: Japan

Jeez. For 60K, it would be easier to sell the bloody house, and support the wife in Japan if she can't work here.... At least you're all together as a family and the gov't doesn't get all your cash!

We fully intend on owning another house sometime, my wife and I. But it's unlikely that it will be in Canada. I have nothing against Canada, nor against being Canadian... But I just don't see myself moving back there.

Strange, huh?

Smile

After Japan, I think maybe Europe. There are also certain parts of the U.S. that attract me.

Gordon · Joined: 28 Jan 2003 Posts: 5309 Location: Japan

Jim, when my masters in finished next spring, I'm thinking UAE. I too am not looking forward to going back to Canada and you're only young(ish) once. The thought of scraping together p/t jobs at a community college is not all that appealing.

Willy_In_Japan · Joined: 20 Jul 2004 Posts: 329

I miss Canada, and I miss my family and friends. However, I don't miss the low paying jobs I had there.

You have to take taxes into consideration when deciding how much you are going to accept for a job in Canada. I am NOT an anti tax whiner, but when my friend recently tried to encourage me to come back, I said 'Well, with higher taxes, and the fact I don't need a car here, I would probably have to get a job that paid 50,000 dollars a year in Canada'.......he replied; 'You aren't going to get that!'........well, then I am in no hurry to return.

MikeL, I do know a girl who spent a year in Japan, and then when she went back was handed a tax bill of about 5000 dollars by Revenue Canada despite being out of the country for a year, and having few ties to Canada. She had to pay Canadian taxes, but of course, got to deduct what she paid in taxes in Japan. So, I know of one person who was in this situation. However, I must say I also think that if one is working in Japan and still considered a resident of Canada for tax purposes, that it is probably not worth being here.

Mike L. · Joined: 28 Feb 2003 Posts: 519

I agree with eveyone that the tax situation in Canada is not ideal but the quality of life and other factors make it more appealling to me in the long run than staying in Japan.