I have an au pair from Austria who came in Aug 2018 and will leave in Jul 2019. Does she have to claim her income from before arriving in Canada?

She's a non-resident on a working holiday visa, but has a SIN and received a T4.

Answer

Her residency status is important when filing for her first tax return with the CRA. Once that is established, she would move forward with filling out her T4.

Foreign income earned prior to arriving in Canada. We want to know about your World Income (Foreign & Cdn). It boils down to whether she will get a full year or is it prorated from your date of entry.

She will not be taxed twice on her income from home, under the tax treaty Canada has with Austria, as it is taxed at source, she would file for Foreign Tax Credit on the income from Austria.

To access the FTC form, go to the "Find" icon at the top right corner of your screen and type in "Foreign Tax Credit"

Please take note that as a non-resident, first time filing a tax return with the CRA, she will have to print and mail her return. She will not be able to Netfile.

Was this answer helpful? Yes No
Original
Moderator

No answers have been posted

More Actions

People come to TurboTax AnswerXchange for help and answers—we want to let them know that we're here to listen and share our knowledge. We do that with the style and format of our responses. Here are five guidelines:

  1. Keep it conversational. When answering questions, write like you speak. Imagine you're explaining something to a trusted friend, using simple, everyday language. Avoid jargon and technical terms when possible. When no other word will do, explain technical terms in plain English.
  2. Be clear and state the answer right up front. Ask yourself what specific information the person really needs and then provide it. Stick to the topic and avoid unnecessary details. Break information down into a numbered or bulleted list and highlight the most important details in bold.
  3. Be concise. Aim for no more than two short sentences in a paragraph, and try to keep paragraphs to two lines. A wall of text can look intimidating and many won't read it, so break it up. It's okay to link to other resources for more details, but avoid giving answers that contain little more than a link.
  4. Be a good listener. When people post very general questions, take a second to try to understand what they're really looking for. Then, provide a response that guides them to the best possible outcome.
  5. Be encouraging and positive. Look for ways to eliminate uncertainty by anticipating people's concerns. Make it apparent that we really like helping them achieve positive outcomes.

Select a file to attach:

Do you still have a question?

Ask your question to the community. Most questions get a response in about a day.

Post your question to the community