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Canada income tax return for NRIs Canada income tax return for NRIs

Canada Tax Returns for NRIs

Cross-Border Tax Compliance Made Simple with Dinesh Aarjav & Associates

Navigating Canada’s tax system as a Non-Resident Indian (NRI) or globally mobile professional can be complex, especially if you have ties to India or other countries. Canada taxes based on residency, not just citizenship—meaning even temporary residents, work permit holders, and returning Indians may have Canadian tax obligations.

At Dinesh Aarjav & Associates, we specialize in Canada-India cross-border tax filing, helping NRIs and expatriates stay compliant with the Canada Revenue Agency (CRA), avoid double taxation, and report global assets properly under Canadian and Indian tax laws.

Whether you’re a student, worker, entrepreneur, or investor with Canadian-source income, we provide expert tax filing solutions tailored to your global mobility profile.

Cross-Border Tax Compliance Made Simple with Dinesh Aarjav & Associates

Navigating Canada’s tax system as a Non-Resident Indian (NRI) or globally mobile professional can be complex, especially if you have ties to India or other countries. Canada taxes based on residency, not just citizenship—meaning even temporary residents, work permit holders, and returning Indians may have Canadian tax obligations.

At Dinesh Aarjav & Associates, we specialize in Canada-India cross-border tax filing, helping NRIs and expatriates stay compliant with the Canada Revenue Agency (CRA), avoid double taxation, and report global assets properly under Canadian and Indian tax laws.

Whether you’re a student, worker, entrepreneur, or investor with Canadian-source income, we provide expert tax filing solutions tailored to your global mobility profile.

 

Who Must File Tax Returns in Canada?

 

You are required to file a Canadian income tax return if:

  • You are a resident or deemed resident of Canada for tax purposes

  • You earn income from Canadian sources (employment, rental, capital gains, etc.)

  • You want to claim a refund or tax credit

  • You have foreign income or property over the reporting thresholds

  • You are emigrating or immigrating during the year

Canada income tax return for NRIs

Key Tax Deadlines

Filing Type

   

Deadline

Individual Tax Return (T1)

   

April 30 (next year)

Self-employed or spouse thereof

   

June 15

Payment of Taxes Owed

   

April 30

Residential Status Determination (NR73)

   

Within 6 months of departure

Late filing may incur interest and penalties.

 

Essential Canada Tax Forms for NRIs

 

 

Foreign Asset & Income Reporting (T1135)

 

Non-compliance penalties can go up to $2,500 per year per failure, and more for gross negligence.
 

Emigration & Departure Tax

 

When you cease Canadian tax residency, you must file a departure return, which may include:

We assist with residency determinations, disclosures, and capital gains calculations on departure.

 

  • Avoiding Double Taxation with India

    As per the India–Canada Double Taxation Avoidance Agreement (DTAA):

    • Foreign Tax Credits (FTC) are available

    • Income from Indian sources (e.g., rent, dividends, capital gains) may need to be disclosed in Canada

    • CRA generally gives credit for tax paid in India, provided proper documents (TDS certificates, Indian ITR) are maintained

    We help you claim applicable relief and credits while filing both Indian and Canadian returns.
     

    Common Scenarios We Handle

     

    • NRI with rental income and investments in India

    • Work permit holders moving from India to Canada mid-year

    • Canadian PRs or Citizens relocating back to India

    • Returning Indians needing to file past returns in Canada

    • Students earning part-time income and remitting funds abroad

    • Global executives under secondment/employment transfers

     

    CRA Penalties for Non-Compliance

     

    • Late filing penalty: 5% of balance due + 1% per month

    • T1135 non-filing: $25/day (up to $2,500)

    • Failure to file NR4 / T4 slips: Up to $100 per form

    • Gross negligence: Fines up to $12,000 per failure 

Frequently
Asked Questions

  • Q: I am an Indian citizen working in Canada. Do I need to file taxes in both countries?

    Yes, you may need to file both in Canada and India. Our team ensures proper DTAA application so you don't pay double taxes

  • Q: What is Form T1135 and when should I file it?

    T1135 is required if you own foreign assets (like Indian property, bank accounts, PF, LIC) worth over CAD $100,000 anytime during the year.

  • Q: How is my Indian income treated in Canada?

    Indian income must be declared in Canada. You may claim a Foreign Tax Credit (FTC) to offset tax paid in India.

  • Q: I left Canada permanently. Do I still need to file taxes?

    Yes. You must file a departure return, declare deemed disposition of assets, and submit Form NR73 to determine your exit status.

  • Q: Do I need to report my NRE/NRO accounts to CRA?

    Yes, if the balance crosses CAD $100,000, NRE/NRO accounts must be reported via T1135.

Our Team