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ginger
Joined: 05 Apr 2005
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Posted: Sat Feb 25, 2006 4:03 pm Post subject: am i a resident of korea? |
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i am busy trying to figure out this whole non-residency thing for my canadian taxes, and i see that i have to be considered a resident of another country in order to be non-resident in canada... so, how long do you have to be in korea to be considered a resident? is there anything you must do to apply for residency here? |
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schwa
Joined: 18 Jan 2003 Location: Yap
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Posted: Sat Feb 25, 2006 4:57 pm Post subject: |
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You establish residency here merely by the fact of living & working here. There is no defined timeframe -- I'd guess anywhere from the better part of a year on up. The key is having very few significant ties with Canada which demonstrates at least the intention of an open-ended stay abroad. |
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denverdeath
Joined: 21 May 2005 Location: Boo-sahn
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Posted: Sat Feb 25, 2006 6:20 pm Post subject: |
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http://www.cra-arc.gc.ca/tax/nonresidents/common/residency-e.html
If you're in Canada for less than 183 days for the tax year under consideration, there's a good chance that you can be deemed a non-resident...as long as there are no primary ties(houses, spouse, etc) and very limited secondary ties(driver's license, passport, bank accounts, etc). Your visa/ARC makes you a resident of Korea, but when you came here will determine whether you were a non-resident for Cdn tax purposes. |
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joyfulgirl

Joined: 05 Jan 2006
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Posted: Sun Feb 26, 2006 6:38 am Post subject: |
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i've been here for over 2 years, and not paid taxes back home..canada..i have a bank account there, and a passport, obviously, and a driver's license as well...am i breaking some sorta rule? |
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visitor q
Joined: 11 Jan 2006 Location: The epitome of altruism - Oh Obese Newfoundler, I Am Going To Throttle Your Neck, Kaffir
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Posted: Sun Feb 26, 2006 7:19 am Post subject: |
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joyfulgirl wrote: |
i've been here for over 2 years, and not paid taxes back home..canada..i have a bank account there, and a passport, obviously, and a driver's license as well...am i breaking some sorta rule? |
Yes. |
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cruisemonkey

Joined: 04 Jul 2005 Location: Hopefully, the same place as my luggage.
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Posted: Sun Feb 26, 2006 7:38 am Post subject: |
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visitor q wrote: |
joyfulgirl wrote: |
i've been here for over 2 years, and not paid taxes back home..canada..i have a bank account there, and a passport, obviously, and a driver's license as well...am i breaking some sorta rule? |
Yes. |
Crap... nonresidency is complicated, but given the limited amount of information provided by 'joyfulgirl', she would qualify if those are the only three ties she has to Canada. |
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chronicpride

Joined: 16 Jan 2003
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Posted: Sun Feb 26, 2006 10:32 am Post subject: |
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joyfulgirl wrote: |
i've been here for over 2 years, and not paid taxes back home..canada..i have a bank account there, and a passport, obviously, and a driver's license as well...am i breaking some sorta rule? |
Tax residency status is a discretionary determination from Revenue Canada, so there is no black and white rule, per se. It's more of a guideline. The closer that you follow that guideline, the less sleepless nights you should be having over your possible taxation of your overseas income, when going back. Based on the info that you've given so far, you're looking to be ok.
More on this subject and the guidelines here:
http://wiki.galbijim.com/index.php/Tax_issues_for_Canadian_expats |
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ajgeddes

Joined: 28 Apr 2004 Location: Yongsan
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Posted: Sun Feb 26, 2006 4:23 pm Post subject: |
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From what I understand, as long as you are working in Korea and paying taxes here you don't need to be paying taxes (or doing your taxes) in Canada. Why? Because they have a special tax treaty that deals with all of that. The same reason the Canadian pension office will get you your Korean pension money once you go home. |
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chronicpride

Joined: 16 Jan 2003
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Captain Corea

Joined: 28 Feb 2005 Location: Seoul
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Posted: Sun Feb 26, 2006 4:26 pm Post subject: |
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ajgeddes wrote: |
From what I understand, as long as you are working in Korea and paying taxes here you don't need to be paying taxes (or doing your taxes) in Canada. Why? Because they have a special tax treaty that deals with all of that. The same reason the Canadian pension office will get you your Korean pension money once you go home. |
Wrong.
You may just find yourself being reimbursed what you paid in Korean taxes and owing the full amount to Canada. As in, if you paid 4% in Korea but would have owed 24% on the income if you had earned it in Canada, you'd eventually have to come up with that extra 20%. That is how the treaty works for Canadaians (who are residents of Canada) |
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