What are your obligations?

You are responsible for deducting and remitting non-resident tax if you are:

• a Canadian resident who pays or credits certain types of income to a non-resident of Canada
• an agent or someone who receives certain types of income on behalf of a non-resident of Canada, from which tax was not withheld
• a non-resident of Canada who receives certain types of income from a Canadian source, from which tax was not withheld

Failing to deduct and remit non-resident tax on these payments may result in penalties and interest.

Open a non-resident tax account!

It’s now easy and convenient to open a non-resident tax account! Our new online registration tool simplifies the process of getting an account so you can deduct and remit the correct amount of non-resident tax.

You can access the new registration tool and open a non-resident tax account through any of the Canada Revenue Agency (CRA) online portals, including:

• My Account
• My Business Account
  
• Represent a Client

Who is a non-resident?

A non-resident is someone who:

• normally, customarily, or routinely lives in another country and is not considered a resident of Canada; or
• does not have significant residential ties in Canada; and
  • lives outside of Canada throughout the tax year; or
  • stays in Canada for less than 183 days in the fiscal year.

Common types of income subject to non-resident tax

The most common types of income subject to non-resident tax are:

• Pension plan and Old Age Security (OAS) payments
• Registered Retirement Savings Plan (RRSP) and Registered Retirement Income Fund (RRIF) payments
• Rental and royalty payments
• Annuity payments
• Trust payments
  
• Dividend payments