23 April 1998 External T.I. E9730645 - EMPLOYMENT INCOME IN CANADA, BRITISH PROF.

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the CRA.
Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle de l'ARC.

Please note that the following document, although believed to be correct at the time of issue, may not represent the current position of the Department.

Prenez note que ce document, bien qu'exact au moment émis, peut ne pas représenter la position actuelle du ministère.

Principal Issues:

Est-ce que le revenu d'emploi gagné au Canada par un professeur qui est un citoyen de la Grande Bretagne est imposable au Canada ?

Position:

Oui

Reasons:

Pas d'exception A leur égard dans la convention fiscale entre le Canada et la Grande Bretagne

5-973064
XXXXXXXXXX Marie-Marthe Gagnon
(613) 957-8953

April 23, 1998

Dear XXXXXXXXXX:

Re: Tax Treaty with the United Kingdom - Employment Income in Canada

This is in reply to your letter of November 6, 1997, in which you requested information regarding your tax liability in Canada and the Canada-United Kingdom Income Tax Convention (hereafter the “Convention”). We apologize for the delay in responding to your letter.

You mentioned in your letter that you are a British citizen who has been offered a job at a Canadian university. You would like to know what your tax liability would be if you were accepting the offer.

Your tax liability under the Canadian Income Tax Act (hereafter the “Act”) can be established only after your residency status has been determined. In this regard, you will find enclosed a copy of the guide Non-Residents and Temporary Residents of Canada and of the pamphlet Newcomers to Canada to assist you in this determination. Your residency status affects how you file your tax return and what types of income you have to report.

As regards your employment income as a teacher at a university in Canada, our view is that it would be taxable as income earned in Canada under the Act notwithstanding your residency status or the Convention.

If you need more information after reading the documents enclosed, you can write or call the International Tax Services Office. You will find the address and telephone numbers of this Office on the back cover of either of the documents.

We trust our comments will be of assistance to you.

Yours truly,

Maurice Bisson, CGA
for Director
Reorganizations and International Division
Income Tax Rulings and Interpretations Directorate
Policy and Legislation Branch

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