Korean Job Discussion Forums

[dragonfly123]

Hi Everyone,

I know that this has been probably addressed on here ad nauseum but I can not find any postings when I use the search engine on here. (It's probably me, I know.) That being the case, I decided to post on here because I know there are a lot of informed and helpful people on here.

I lived abroad for five years working for three years in Korea. I paid taxes in that respective country, Korea, but never filed my taxes in Canada. Now, I have returned back to Canada and want to file for those three years I worked in Korea and I want to do it as a NON-RESIDENT (to avoid paying Canadian taxes). My concern/fear is that Revenue Canada's decision of who is a non-resident is quite arbitrary. For the record, I had no possessions in my name - canceled my RRSP, no properties, cars, canceled my gym memberships. I did have a Canadian joint bank account with a family member and a Canadian credit card (had two until I paid off the debt) and obviously a Canadian passport. My health card and driver's license expired while I was gone. I never used my OHIP during that time and of course, had health insurance in Korea. I want to be secure that I will be deemed a non-resident for those years (and not pay taxes).

So,if anyone has been in the same position (I imagine that anyone who returned to Canada or will return to Canada will be exactly in the same position) and can tell me what they did or who they went to see (an accountant who has experience with this specific circumstance), I would be greatly appreciative!

One more note. My first year in Korea, my employer stole my taxes. I phoned the National Tax Service and they had no idea of who I was. Would REvenue Canada have any way of knowing that I worked in Korea that first year as well?

Thanks to all who help me because as tax deadline approaches, I am stressed out about what to do!

[brento1138]

Just so you know, you'll be totally fine. There are quite a few threads here about it telling people what to do, but I don't dare try using the search engine. Basically since you are in Canada now, I dunno exactly what steps you have to take, but I know that non-residency for tax purposes can be claimed retroactively. In other words, since you were gone those 3 years you simply won't have to pay taxes... I had more connections to Canada than you do, so you'll have no problem with getting those years as a non-resident.

I was once like you, a little panicky... but the truth is, the Canadian gov. is actually pretty lenient when it comes to us ESL teachers in Korea. Just tell them you were gone 3 years, and you'll be fine.

[Missihippi]

try posting in the same forum 8 more times, but next time use all caps

[Captain Corea]

I filed once for 5 years and they couldn't give a toss. I had no income in Canada and almost no ties. They never batted an eye.

[Underwaterbob]

Wow, sextuple post.

Edit: Make that octuple, missed a couple.

[silkhighway]

I decided not to bother filing since non-residency is self-declaration and nothing is binding about it.

I just came back and filed taxes as normal. Four tax returns later and it didn't cause me any issues. They even gave some of my previously unclaimed tuition from my last return before I went to Korea!

My friend in very much a similar situation to me did file for non-residency, and he had no trouble either.

I don't think it's worth stressing out over. You're not cheating, you are a non-resident, and besides, it's not like you're making big bucks in Korea.

[GVI]

When it came to getting back into the loop, filing non-residency was helpful, especially when it came to securing benefits like GST rebate cheques, etc. It helped initially explain my absence to Revenue Canada, plus had to potential to keep me from getting grief from them years down the road.

Moving back - in my case, after 12 + years in the ROK - was a royal pain in the butt, and it was at least a year before I was getting family allowance benefits, etc. for my son, who, as a Korean-born Canadian, was himself getting into the systems - provincial and federal - for the first time.

One piece of advice to those returning: Go to an accountant who has experience with non-residency, extended stays overseas, etc. to file for at least your first year back. My tax accountant at H&R Block not only knew all the ins and outs of taxes, but also knew where to steer me in terms of getting back into the system across the board, both with the federal and provincial governments. She saved me time and money, and also alerted me to a number of benefits I was not yet aware that my son and I were eligible for.

[dragonfly123]

GM,

Tried to PM you but I can't because haven't posted enough. Just wanted to know if you could recommend your H&R Block accountant if she's in the GTA region. (If anyone knows of one, that'd be great. I guy on here offered to do it but he wants $200 and he lives in Korea.

Regards,

And thanks to all those who answered!