Korean Job Discussion Forums

[Chopstix]

I am hoping some Canadians will be in the know about this. If someone is planning on being in the ROK for a couple years- is it a good idea to apply for non-residency? To avoid possibly facing taxes when going home.

Any comments would be appreciated.

[funplanet]

yep....but you have to sever connections with Canada, example-cancel credit cards, no mortgages, iffy on having a bank account, etc..the embassy has the info on what you need to do

[peppermint]

Yes it's a good idea, the only catch is that it might take a while to get the health insurance again when you return.

[Daechidong Waygookin]

Dont apply. Any decision is not legally binding, its only an opinion.

What you should do is check the guidelines for non-residency and make sure you got each base covered.

The important thing is to eliminate ALL your primary ties like property back home, or dependents (wife or kids). I dont know how you would get rid of dependents, so if you have any back home you may be screwed from the get go. Eliminate as many secondary ties as you can (bank accounts, memberships, credit cards, etc).

When it comes time to decide if you owe taxes, you will be dealt with on an individual basis anyway, and any letter you get from them now is not legally binding as I said.

In the end, even if you did all that you could about your primary and secondary ties, you may still owe taxes if they decide that for some reason you always meant to go back to Canada anyway. It would be a great idea to get as many residential ties to Korea as posible. That would probably require more than an E2 visa and a job teaching English. You would have to show that you meant to settle down in Korea forever, but ended up back in Canada by chance.

[Daechidong Waygookin]

[turtlepi1]

[Daechidong Waygookin]

[prairieboy]

This topic has been covered so many times that it is difficult to believe that anyone would have a situation not covered by the discussions on the board.

Here's a thread http://www.eslcafe.com/forums/korea/viewtopic.php?t=29265&postdays=0&postorder=asc&highlight=nr-73&start=15 that might shed some light on the topic.

Cheers

BTW If you are not able to supply proof of payment of Korean taxes (like a tax return or a form from the Tax office that states your income and taxes paid) then you may be on the hook for the entire amount of Canadian taxes...should CCRA ever find out that you were working in Korea.

[Hanson]

I was under the impression that there was a 2-year rule, where if you've been out of Canada (as a Non-Resident) for 2 years or more, you're okay for not paying taxes in Canada.

I've been a non-resident since I came here 4 and a half years ago, and I fully intend to return to Canada at some point, but I'll be damned if I'm gonna pay a single penny to the Canadian government for the income I've received since I left - that's why I left Canada in the first place!!!!!

I've had a credit card (from Canada) under my name this whole time, and I really don't see how that could affect me paying taxes or not...

Am I alone to hear about the supposed 2-year rule?

[Hanson]

I was under the impression that there was a 2-year rule, where if you've been out of Canada (as a Non-Resident) for 2 years or more, you're okay for not paying taxes in Canada.

I've been a non-resident since I came here 4 and a half years ago, and I fully intend to return to Canada at some point, but I'll be damned if I'm gonna pay a single penny to the Canadian government for the income I've received since I left - that's why I left Canada in the first place!!!!!

I've had a credit card (from Canada) under my name this whole time, and I really don't see how that could affect me paying taxes or not...

Am I alone to hear about the supposed 2-year rule?

[Daechidong Waygookin]

[casey's moon]

[Daechidong Waygookin]

[casey's moon]

[kylehawkins2000]

I beleive it's ok to hold credit cards and savings accounts in Canada while declaring non-residency. It's larger holdings like real estate that are a problem.