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Funda Dilaver
Whether your client is a retiree seeking a warmer climate or a professional moving for work, there are tax consequences if they decide to leave Canada permanently.
Under the Income Tax Act (ITA), Canadian residents pay taxes on their worldwide income. A non-resident of Canada is taxed only on certain Canadian-sourced income.
Generally, your client becomes a non-resident if they meet the conditions of leaving Canada to live in another country and severing residential ties with Canada by:
disposing of or renting their home in Canada and establishing a permanent home in another country,
having their spouse or common-law partner and dependants leave Canada, and ....

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