I have question for the people who moved from Dubai or middle east.

I did my landing in May 2005, stayed in Canada for 2 months and came back to Dubai. While I was in Canada, opened bank a/c with TD and has only 1000 CAD in it. After that I never put any money in this a/c.

Now I am permanantly shifting to Canada in June 2007. One of my friend told me that shifting money from Dubai inform of draft or travel cheque will be taxed because I have already done my landing and left canada and now entering in Canada second time. Is it true? Can any guide me how can we bring money from Dubai without getting taxed. I also heard that bringing from India will not be a problem because India already has tax system unlike Dubai.


Can anyone tell me how true is this. Or what is the best way to bring money from Dubai/Abu Dhabi.

Thanks

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Desertsstorm

Instead of bringing in the entire amount in one go, you can transfer in several instalments less than $10,000. I maintain my Dubai account and keep withdrawing as and when the need arises.

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goldie

Sometimes and I think most of the times, it amazes me to read such posts on a
public forum. First you find ways to cheat the CRA of the taxes and than you have the gall to post such things on a public forum. I do not want to get into things like what taxes are applicable and how you calculate them.
But you clearly owe money to the CRA.

I wonder is some governent agency is keeping a watch on public forums. They might be looking for a big fish somewhere but it sometimes would not hurt them to catch small fishes.

I fail to understand why people mistake income tax with tax on transfer of money!

Every country in the world likes to get money from outside the country - and as far as I know, no country taxes transfer of money. The tax levied is if you are a resident of a country (as per the tax laws of the country) and the laws of the country stipulate that your world income is to be taxed, then whether or not you transfer money to that country, it is subject to tax.

Now in your case desertstorm:

Suppose you had $300k in your various accounts all over the world when you landed in Canada.

Between 2005 (when you left Canada), and now, you earned (not saved, mind you) say 100k.

Now, in such a case, $300,000 is not taxable in Canada at all, whether you bring it here or not.

However, the 100 k which you earned in these two years after your landing in Canada can be subjected to tax - depending on what view the tax authorities take on your residentship since you had a bank account for this period in Canada which showed your ties with Canada. In case they feel that you have ties to Canada which make you resident of Canada, then this 100k is taxable in Canada EVEN NOW, whether or not you bring it to Canada. However, if CRA (Canada Revenue Agency) are of the view that you are not to be considered a resident of Canada till now for tax purposes, you are free to bring that $400K whenever you want - and in how so many installments you want.

As far as advice from your friend is concerned, in my view - purely in my view, it is absolutely foolish to say that money brought from India is not taxable, while that brought from Dubai is, simply because the tax structure of the two remitting countries is different.

Chandresh

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Chandresh

Advice is free – lessons I charge for!!

Quote:

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Originally posted by goldie

Instead of bringing in the entire amount in one go, you can transfer in several instalments less than $10,000. I maintain my Dubai account and keep withdrawing as and when the need arises.

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Chandresh

Advice is free – lessons I charge for!!

I too have brought in lage amounts several times without any problem. However once my transfer was held up as I had to do a bit of explaining and furnish bank statements to prove that no money laundering was taking place. Hence the advice.

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goldie

Thanks for input and some valueable advise. Goldie Could you tell me please what is the best way to bring money in one go. Is it demand draft or cash or travel cheques?

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Desertsstorm