I shifted from Delhi to Toronto as a PR and at that time I had not resigned from the company I was working in . A few months after I sent my resignation and the company has partly settled my final dues namely the PF amount. I am expecting some more of that.

What I want to understand is that how can I bring that money from India to Toronto an what are the implications in India and Canada. All advices - regular/irregular are more than welcome as this issue really is making my hair go grey.

Similiarly for sale proceeds of my house when sold - the modus operandi for transfer of money needs to be understood. Any advise again is welcom.

Thanks

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Ash

do you want to know modus operandi from tax point of view, or from actual physical transfer of funds?

For physical transfer of funds- you will have to look into RBI regualations and that could be found on their site or from a bank in India authorised to deal in forex transfers.

From Tax point of view, it depends on how long have you been in Canada - if new, there is no problem, but if have been here for more than a year and have already filed your returns, depends what all did you declare in your tax returns?

Chandresh

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Chandresh

Advice is free – lessons I charge for!!

*deleted*

I have been here more than 2 yrs now.

Do the funds coming from India constitute an income or can we declare that as a gift in Canada with zero tax liability.

For the sale proceeds of the house I read that we need not declare any house below $Cd 100, 000 so we did not. Further if I sell off the house in India and get the money here thru an intermediary as a draft , then deposit it towards my mortgage, will this constitute any tax liability. Can I pay tax in India as capital gains and then pay nothing here.

Further the issue is repatriation in a regular manner or irregualr manner. What are the options?

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Ash

Hey guys.......you are now asking questions which require careful thinking and planning, and things that should not be discussed on an open forum. Besides, such advice is chargeable too! (more so since I have spent more than 15 years in first hand dealings in internatinal finance).

Yes you might get a lot of free advice on this forum......but no one would actually tell you what they did themselves. Like some people advise that whatever income you have in India, do not declare it in Canada, and so save all your taxes- I personally am totally against it. Why resort to lies and illegal things when there are ways to do them legally and in a properly structured manner? I would suggest you discuss the case with someone who knows these matters and can devise the whole structure in a proper manner - which would be a combination of saving taxes where needed, as well as staying withing the four walls of law.

Chandresh

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Chandresh

Advice is free – lessons I charge for!!

Is the PF and gratuity or any tax paid money again taxable in Canada and if not what are the documents needed to attach with the Canadian tax file. And sorry if Chandresh wants to be charge money for these kind of advises then he can give his contact details so that I can get in touch with him.

Thanks

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Ash

Quote:

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Orginally posted by sghosedelhi

Is the PF and gratuity or any tax paid money again taxable in Canada and if not what are the documents needed to attach with the Canadian tax file.
Thanks

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Chandresh

Advice is free – lessons I charge for!!