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exclusion property of departure tax

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(@Anonymous)
Joined: 1 second ago
[#576]

https://madanca.com/articles/entry/becoming-a-non-resident-of-canada/

Regarding the exclusions of departure tax -

"Property belonging to a short-term resident (an individual who is a resident in Canada for less than 60 months in the 120-month period preceding the disposition) when that resident came to Canada or any property acquired through inheritance after that individual became a resident of Canada."

If I lived outside of Canada for more than 60 months in the 120-month period preceding the disposition, do I qualify for the short-term residency? (P.S. I still file income tax every year to CRA while traveling or living abroad.)

Thank you for answering.


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Posts: 663
(@dexter)
Joined: 3 months ago

Living outside Canada for 60 months does not mean you will qualify for the exemption from departure tax. To qualify, you must leave Canada within 60 months of your arrival. For example, suppose you became a tax resident of Canada on January 1, 2020. You would need to leave Canada before December 31, 2024 to avoid departure tax.


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