Principal Issues: Whether taxpayer is resident in Canada
Position: General guidance provided
From: Boychuk, Daryl
Sent: November 17, 2009 11:08 AM
To: XXXXXXXXXX
Subject: Correspondence to Minister of Finance
Dear XXXXXXXXXX ,
I have received a copy of your emails to the Minister of Finance regarding your eligibility to utilize a Tax-Free Savings Account. I understand that your eligibility depends on whether you are resident in Canada and that you are not certain if the Canada Revenue Agency (CRA) would consider you to be a resident.
In general terms, an individual will be resident in Canada in a taxation year if he/she has established sufficient residential ties to Canada or if he/she is temporarily present in Canada for a total of 183 days or more in any calendar year. However, if the individual is also resident in another country with which Canada has a tax treaty, he/she may be considered to be resident in that country and not Canada.
The CRA has published its views on the meaning of "resident in Canada" in Interpretation Bulletin, IT-221R3, "Determination of an Individual's Residence Status". This Bulletin, along with our other publications, can be accessed on our website at: http://www.cra-arc.gc.ca under the heading Publications.
Our experts in residency determination are located at our International Tax Services Office (ITSO). The telephone number is 1-800-267-5177 (toll free) or 613-952-3741. The staff at ITSO can assist you with any questions you may have regarding your residency status. In addition, you can apply to ITSO for a written determination of residency status. The process is explained in paragraph 27 of IT-221R3.
If you like, you can also call me directly at 613-948-5274.
Daryl Boychuk
International Tax Section I
Income Tax Rulings Directorate
Place de Ville, Tower "A"
320 Queen Street
Ottawa K1A 0L5
daryl.boychuk@cra-arc.gc.ca
Tel: 613-948-5274 Fax: 613-957-2088