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Non-Resident Canadian Property Sales Tax Rebate

Non-Resident Canadian Property Sales Tax Rebate

The process for non-tax residents to sell investment properties in Canada

  1. Have his lawyer withhold 25% of the sales price
  2. Apply for a tax clearance certificate, indicating all income and expenses, and calculating the actual tax amount
  3. After approval, the lawyer will refund the excess 25%
  4. Submit it to an accountant to calculate the expenses incurred, including attorney fees and other expenses, file the tax, and submit a tax refund application before April 30 of the second year after the property is sold
  5. The tax bureau will review the calculation of all income and expenses and refund the tax

If you want to know more about Canadian real estate tax declaration for non-residents, click the link below to watch the video explanation.

Non-resident Canadian Property Tax Return

regular price $300.00 CAD
regular price Sale price $300.00 CAD
discount price sold out

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Related FAQs

What should I do if the tax declaration deadline has passed when I received the tax clearance certificate?

You can still file your return, but you may be charged a penalty or interest for exceeding the deadline when the tax bureau processes it. In addition, it is possible that the tax bureau will consider their delay and not include the penalty and interest when processing. Since it is the tax bureau's delay, you can apply to the tax bureau to waive the penalty and interest. We can provide a free letter to the tax bureau to cancel the application for penalty and interest. If you need to urge the tax bureau to expedite the processing, there may be additional fees.

When should I file my home sale tax return?

The tax return for selling a house should be filed between late February and late April of the second year after the house is sold, after the tax clearance certificate is obtained. (If the final handover date of the house is between January 1 and December 31, 2022, the return will be between February 20 and April 30, 2023).

Why do you need a final closing report for selling a house?

When deducting your selling expenses (such as brokerage fees, attorney fees, accounting fees, etc.), the tax bureau requires supporting documents. These documents can usually be found in your complete closing report. If the attorney's documents are not included, we will ask you for the corresponding documents.

Do I need to provide documentary proof of income?

It is not necessary to provide it when declaring. If the tax bureau chooses to audit your tax later, you will need to provide it.

Why do you need to know my marital status? When do you need to know it?

It is also used to calculate your tax exemption and may increase your tax exemption. What is needed is the status on December 31st of the year you sell the house. If your status changes during the year, please provide it according to December 31st.

Does my spouse's income need to be taxed in Canada?

Similar to your situation, your spouse's income does not need to pay tax to Canada. This is only for the reference of the tax bureau, and no document is required when filing. You will need to provide it if you are audited.

I don't have a valid mailing address in Canada. Can I use an overseas address to receive mail?

Although the tax bureau can also mail to overseas addresses, we strongly recommend that you do not use a mailing address other than Canada or the U.S. Since the tax bureau's mail is ordinary mail, there is no way to check it, and mailing to an overseas address may cause the letter to get stuck or even lost during the mailing process.

Can I use your company address to receive mail?

No problem, we provide personal mail collection service , which can help you collect mail. After receiving the letter, it will be sent to you by mail, so you need to check your mail. If you need to mail the check after receiving it, there will be additional handling fees and mailing fees.

How much tax refund can I get?

The refund amount is affected by many factors, such as expense deduction, prepaid tax, tax exemption, etc. We need to help you make a detailed calculation before we can confirm your refund amount. Please understand that we cannot give you an estimate of the refund amount before the calculation.

How will the IRS refund my taxes?

There are two ways to get a tax refund. The first is to mail a check directly to the recipient address. No additional settings are required, but there is a chance that the name on the check is misspelled and cannot be stored. The second is to have the tax bureau directly deposit the tax refund into your bank account. You need to set up with the tax bureau. The advantage is that the refund is directly deposited into your bank account, so you don't have to worry about the letter getting lost or the name being wrong.

How do I set up a direct deposit?

Accountants as third parties cannot help you set up direct deposits. Currently, the Canada Revenue Agency allows direct deposits to be set up directly through banks. You can contact your bank to set up direct deposits. Most banks allow applications to be completed through online banking. If you encounter problems during the setup process, you need to contact your bank manager to assist you in setting up. If the bank cannot set it up, you will need to contact the tax bureau to set it up. (Please note that if you are filing a tax return to the tax bureau for the first time, it may be impossible to set up because the tax bureau does not have your file)