TAXES IN CANADA

TAXES IN CANADA

Canadian taxes for international students will vary.

Almost all goods in Canada are subject to either Government Sales Tax (GST), Provincial Sales Tax (PST) or Harmonized Sales Tax (HST). These taxes are paid on goods at the time of sale. GST is currently 5% and PST varies from province to province, but is generally between 5% and 10%. Alberta is the only province with no provincial sales tax, and the northern territories also do not charge PST.

You may also have to file an income tax return while in Canada, even if you have not had a job in the country. This is dependent on your precise residency status. Your residency status is determined by residential ties and by what tax agreements Canada may have with your home country.

Generally speaking, residential ties come from such things as a home in Canada, a spouse or common-law partner and/or dependents in Canada, or significant property in Canada. Ties may also include things like a Canadian driver's license and bank account, or health insurance in a Canadian province or territory. If you are unsure of your residency status, you can contact the Canadian Revenue Agency. They will then determine your status and advise you on your next steps.