NON-RESIDENTS
If you are intending not to be back in Canada prior to closing date, it is extremely important that prior to your leaving you complete the following:
OPEN A CANADIAN BANK ACCOUNT
CONTACT A LAWYER OR NOTARY TO WITNESS YOUR ID AND KEEP ON FILE FOR YOUR PURCHASE
It is simple and straightforward for a non-resident to own in Canada. However, there are a couple of requirments you will need to be aware of. Financing Banks outside of Canada are unable to lend money on Canadian properties. Typically, Canadian banks may lend 65% to 70% of the purchase price for non-residents.
Income Tax Withholding tax on rental income
You may obtain an exemption from the 25% that non-residents are required to pay to Revenue Canada by filling out a simple form called an NR6, which explains that your projected rental income is less than the anticipated expenses associated with your property. After filling in the NR6, you must also file a tax return with Revenue Canada.
Made with FlippingBook - professional solution for displaying marketing and sales documents online