Posted on: 08-04-11 11:16:25
I have a question and I am very ignorant about this topic.
I need to know how the Canadian tax system and Indian tax system works for the scenario that I have mentioned below.
My wife and I, we are on Canadian PR and will become Citizen by June 2012. I do not want to have dual citizenship but if needed one of us can have it. Now the questions are:
1) If I want to invest in Indian real estate, what are the possibilities for doing it as a PR and as a Citizen?
2)Is there a limit to buy real estate for a PR and as a Citizen?
3) What would be a tax implication from Indian as well as Canadian Government? How much tax will be levied by both the Tax governing system on say $50000 and $ 150000 \\\"profit\\\" in real estate selling in India
4) Is there a website of CRA where I can take reference from?
5) What is legal chanelling of investment in this case, can I use Western Union or I do need to open an account in Canadian Bank or international bank like HSBC.
I guess I am asking too much but would really appreciate any information or update on these questions. 
Let me touch some of the points.
You wouldn't have any difficulties in investing in India (unless it is an agricultural land).
Please ensure that you use one of the NR account to transfer money and then use the funds from there to buy the property, it will make your life easier in the case of repatriation.
Until you sell or generate rent from the property, the subject of paying shouldn't arise. In the case of sell or rent, you will need to pay the tax on both Indian and Canadian side. How much it will depend on the profit.
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The cowards never started,
The weak died on the way,
Only the strong arrived.
http://www.youtube.com/watch?v=_yK1i9cLAMM
Somewhat related story. IRS investigating some 9000 rich US Desi's for the their wealth stashed in India. They asked HSBC to name customers with over 100,000$ in Indian accounts. After Swiss and Caribbean, India is on US radar now. Is CRA next?
http://timesofindia.indiatimes.com/nri/news/US-taxman-gets-after-Indian-Americans/articleshow/7915510.cms
Quote:
Originally posted by rohit14
5) What is legal chanelling of investment in this case, can I use Western Union or I do need to open an account in Canadian Bank or international bank like HSBC.
