Why is the basic personal amount on my tax return ...

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Why is the basic personal amount on my tax return lower than the full amount available for the tax year?

If you were a resident of Canada for the entire tax year, you are entitled to the basic personal amount (click here: link) in full.

If you were a resident for only part of the year – for example, if you became a resident of Canada or gave up your Canadian residency and left the country during the tax year – your basic personal amount is prorated based on the number of days you were a Canadian resident during the tax year. This applies to both the federal and provincial basic personal amounts.

Here's an example:

You moved to Canada from Australia on May 6. There are 240 days from May 6 to the last day of the year (December 31). Your prorated basic personal amount would be calculated based on 240 days as follows: (240 days / 365 days in the year) x basic personal amount for the tax year.

TurboTax calculates the basic personal amount you're entitled to based on your Canadian residency status for that tax year.

If you had no income from sources inside or outside Canada for the part of the year that you were not a resident of Canada, you are entitled to the basic personal amount in full. In the previous example, if you had no income before coming to Canada, you would be entitled to the basic personal amount in full.

If the Canadian-sourced income you are reporting for the part of the year you were not a resident of Canada is at least 90% of your net worldwide income for that part of the year, you are entitled to the basic personal amount in full.

Here's an example:

You are a non-resident who came to work in Canada for two weeks in January, and then returned to your home country. In March, you were offered a full-time job in Canada, so you moved to and established residential ties in Canada on March 15. Your only income between January 1 and March 15 was from that job in Canada. Since your income during the time in which you were not a resident of Canada was 100% Canadian sourced, you meet the 90% rule and are therefore entitled to the basic personal amount in full.

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