Korean Job Discussion Forums

[strange_brew]

If you only spent a year here, and haven't become a non-resident, and filed your taxes the legal way (declaring what you made here,) how much tax did you end up paying?

If you just didn't claim anything, did they come after you down the road?

[aimeecate]

I had to pay $1600-1700 for about 3-4 months. The rest was about $2500! So in total over $4000.

My hagwon boss didn't give me adequate pay stubs for the first year. He was evading taxes in Korea as well, so I couldn't get a tax statement from the Korean government either.

I was told by my tax advisor I couldn't declare non-residency for the first year because it was the first year and the government doesn't expect you to stay for longer than that. If you go back and don't have many ties to Canada you can declare and only pay tax in Korea. At least that is what I was told.

[james riot]

So if I just started working here in December 2008, I probably won't want to go and claim that income, correct? My income statements will appear normal enough to the Canadian government for 2008, and I can't claim moving expenses, etc. since my hagwon already reimbursed me for it.

[egrog1717]

Why would you tell the Canadian government how much you made in Korea??... How are they ever going to prove / disprove what you say? My pay stubs are a piece of computer paper with absolutly no information about me or my school on them, and I only get them maybe half of the time... And this is at a PS, lol...

[aimeecate]

I think they could probably check your passport and other records to see you weren't working in Canada. If you just started in December maybe you can get away with not declaring for 2008. However I doubt you'd be able to do it for 2009. I have friends who wanted to just say they were travelling for a year, but I don't think that's a good idea. I'm pretty sure the governemnt looks into these things and it will come back to bite you in the ass later.

You're supposed to show records to prove you paid taxes in Korea and then you have to pay the difference between Korean and Canadian taxes. I don't know what kind of records they actually accept though. Anything you submit has to be in either English or French. I showed what pay statements I had, which were in English. But those were the only documents I could provide that way. My banks statements and such were in Korean and if I could have gotten a tax statement I don't think it would have been in English either.

Sorry to rant, but I had to pay a lot and I'm not the only one I know who has had to do so.

[prideofidaho]

Aimeecate, You said your tax advisor told you not to declare non-residency (or told you that you could not, whichever it was)...why didn't you try anyway? And who was your tax advisor? Did the eprson work for the government? I'm not trying to point out a mistake you may have made, just curious! Paying that must have sucked!!

From the mountains of information (intentionally confusing, I think), I gathered that it's best not to declare non-residency, or apply for it prior to filing taxes. I'm just going to not file, and not apply for non-residency because as far as I can tell I satisfy all the requirements of non-residency, and if you give the CRA a chance to deny you, they will. This is just my own opinion, and it's what I'm going to do...so what anyone else does is up to them...also, this is clearly only because I still live in Korea and do not plan on moving home soon.

There was a thread a while back posted by someone who has since moved back to Canada, and went through the process,a nd wound up only having to pay back their GST checques. I can't find it...maybe someone else can though.

[mayorgc]

I want to file a return, and I'm pretty sure I wont get dinged too bad. But how do I file online from Korea? I'm a little bit lost. Can anybody provide a link for me?

I've only been here since november.

[egrog1717]

For the time being I'm gonna file as having made zero dollars for my time in Korea.... If the Canadian government wants to audit me and have a chat about my finances I'll deal with it then... I've got like 20k in unused tuition credits in my pocket still so that should hold me for awhile LOL

[justaguy]

In Canada I pay the provincial sales tax.

I pay the national GST.

All tolled I pay 14% tax on everything I buy.

But wait there's more!

I pay the fuel taxes.

I pay the excise taxes on booze and smokes.

I pay the airport taxes.

And that is only when I travel home to see my family.

[egrog1717]

Move to Ontario.... Tax is only 13% right now

[bobbybigfoot]

[hamlet712]

My Philosophy is this.

I dont live in Canada, I dont work in Canada, I pay taxes here, and Canada makes lots of taxes off of the Koreans who come to Canada to live and work. They are not entitled to my money earned here.

It is blooody hard enoughy already to save money for down payments for houses, and to have a little bit in the bank. Why in the hell am I going to Declare what I make to the Canadian government when i return?

Meanwhile large corporations ( as always) get tax break after tax break and get away with paying next to nothing percentage wise

Am i PROPERTY of the Canadian government? Why must i have to pay money when I leave Canada, so they can make bad decisions with it. I get none of the benefits of living in Canada, wont get any of the rebates if I am a non resident etc, so what is the point of getting screwed over on taxes.

Oh and to the person who sad try moving to Ontario thetax is only 13%. Allw me to trump you.

Move to Alberta where the tax is only 5 %

[aimeecate]

If you don't file now you'll have to file years from now when you're working in Canada again and I expect the CRA will come looking for the missing returns and charge you lots of late filling fees and interest.

I have heard that if you fill out the non-residency form it kind of red flags you and they do not always accept it. But it seems to be a different situation for different people.

Just so you know I am not talking about filling out a non-residency declaration form when I eventually file again.(This is my third year in Korea.) I am saying that I was told that when you do file after having been in Korea for more than a year you simply check a box on the tax return saying you were a non-resident. I'm not sure this is the right information, but it's what the tax assitant told me at H&R Block. I don't think I will use their services again!

Has anyone here done this and been successful with it? Bobbybigfoot is that what you did? You did not fill out the 'non-resident declaration form,' you just checked a box that said non-resident on the tax return?