Jump to content

Recommended Posts

Yes, it may be to your advantage to have non-resident status, but there probably will be a witholding tax of approx. 30%, depending on your income and what property you still have in Canada.

My intention would be liquidate everything in Canada and leave the country. My understanding by doing so and possibly only having a PO box left is that I can collapse the RRSP pay 15% Does this sound right? It's very difficult to get definitive answers to this stuff.

Thanks

Link to comment
Share on other sites

My intention would be liquidate everything in Canada and leave the country. My understanding by doing so and possibly only having a PO box left is that I can collapse the RRSP pay 15% Does this sound right? It's very difficult to get definitive answers to this stuff.

Thanks

 

The 15% isn't right - the institution will withhold a percentage based on the amount withdrawn. The %ages are laddered - the more you withdraw, the higher the tax rate. If you withdraw more than 15k, 30% is withheld. And remember, the collapsed RRSP amounts are considered part of your income for that year - depending on amounts of other income you have, you could end up paying an even higher tax rate. I'm looking into eventually only withdrawing 10-20k/year and paying minimal, if any taxes.

Link to comment
Share on other sites

The 15% isn't right - the institution will withhold a percentage based on the amount withdrawn. The %ages are laddered - the more you withdraw, the higher the tax rate. If you withdraw more than 15k, 30% is withheld. And remember, the collapsed RRSP amounts are considered part of your income for that year - depending on amounts of other income you have, you could end up paying an even higher tax rate. I'm looking into eventually only withdrawing 10-20k/year and paying minimal, if any taxes.

I think individual cases are different I am waiting for some info from my brokers "specialty" guys in Toronto and if I get anything interesting I'll pass it along.

Thanks for taking the time to reply

Bye for now

Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
 Share

×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.