Are You a Tax Resident of Canada? A Self-Assessment Worksheet

Work through your ties to Canada and see, in plain terms, where you likely stand.

Who this is for: Anyone moving to or from Canada, splitting time across borders, or unsure whether the Canada Revenue Agency (CRA) treats them as a resident. What you'll get: A fill-in worksheet that walks you through the factors the CRA weighs, plus a place to record your own tentative read before you confirm it with a professional.

⚖️ This is a general guide, not legal advice. It can't account for your specific situation. Use it to get oriented, then confirm the details with a licensed Ontario lawyer.

A note before you start: Treadstone Law is a law firm, not your accountant. Residency for tax purposes is a fact-heavy question, and the figures and forms below change. Treat your answers here as a starting point, then confirm your position with a tax professional and the CRA.

Why residency is the question that drives everything

Before the CRA asks how much you owe, it asks who you are. Your residency status decides which income Canada gets to tax.

• A resident of Canada for tax purposes is taxed on their worldwide income — money earned in Canada and everywhere else.
• A non-resident is generally taxed only on certain Canadian-source income (for example, income from a Canadian business, employment in Canada, or the sale of certain Canadian property).

So residency is not about citizenship or even where your passport is from. A Canadian citizen living abroad permanently may be a non-resident; a foreign national who settles here may be a resident. The Income Tax Act sets the rules, and the CRA decides based on your facts.

Use this worksheet to gather those facts in one place.

Section 1 — Significant residential ties

The CRA gives the most weight to three significant ties. Having even one can point strongly toward residency.

Check each that applies to you:

• A home in Canada available for your use (owned or rented, kept ready to live in)
• A spouse or common-law partner in Canada
• Dependants in Canada (children or others who rely on you)

⚠️ Watch out: Renting your Canadian home to an arm's-length tenant on a real lease changes the picture; keeping it empty or available for you does not. "Arm's length" means parties acting independently, not family members or people you control.

My significant ties (write them out):

1. ________________________________________________

1. ________________________________________________

1. ________________________________________________

Number of significant ties I have: ______

Section 2 — Secondary residential ties

On their own, secondary ties carry less weight, but together they can tip the balance, especially when significant ties are mixed or unclear. Check all that apply:

• Personal property in Canada (car, furniture, belongings)
• Canadian bank accounts or credit cards
• A Canadian driver's licence
• Provincial health coverage (e.g., OHIP in Ontario)
• Memberships in Canadian clubs, religious, or professional organizations
• Canadian passport (a minor factor)
• Social ties — family and friends you maintain here
• A seasonal home or cottage in Canada
• Other: ____________________________________

Number of secondary ties I checked: ______

Tip: The CRA looks at the whole picture, not a points total. A long list of secondary ties with no significant ties may still mean non-residency; a single significant tie may outweigh a short secondary list. There is no magic number — these tallies are just to help you see the shape of your situation.

Section 3 — The 183-day rule (deemed residency)

Even with few ties, you can become a deemed resident of Canada for a year if you are physically present here for 183 days or more in that calendar year (and you are not considered a resident of another country under a tax treaty).

Count your days carefully — partial days in Canada generally count as full days.

• My total is 183 days or more → deemed residency may apply
• My total is under 183 days → this rule likely does not apply on its own

⚠️ Deemed residency is its own category with its own consequences (including how provincial vs. federal surtax is handled). The 183-day figure is set by the Income Tax Act, but confirm how the count works for your year with the CRA — special rules can apply to commuters and certain workers.

Section 4 — Leaving Canada (becoming a non-resident)

If you emigrate, you generally stop being a resident on the date you sever your significant ties and establish a home elsewhere. Two big things happen:

1. Departure tax (deemed disposition). When you cease to be a resident, the CRA treats you as having sold most of your property at its fair market value on your departure date — a deemed disposition — and you may owe tax on the resulting gain even though you didn't actually sell anything. Some property (such as Canadian real estate and certain pension assets) is excepted; security can sometimes be posted to defer payment.

2. You file a departure return. Your final return as a resident reports income up to your departure date and triggers the deemed disposition.

Use this checklist if you're leaving:

• I have (or will have) a permanent home in another country
• I am giving up my Canadian home (selling or leasing at arm's length)
• My spouse/partner and dependants are leaving with me (or are already abroad)
• I have listed the property subject to a possible deemed disposition
• I understand a departure return will be required

Likely departure date: ______ / ______ / ________

The deemed-disposition rule can create a real tax bill in the year you leave. The thresholds, exceptions, and any election to defer change over time — confirm the current rules and any reporting forms with the CRA and a tax professional before you go.

Section 5 — Coming to Canada (becoming a resident)

Newcomers generally become residents on the day they arrive and establish significant ties (typically a home, often a spouse and dependants). From that day forward, Canada taxes your worldwide income, though only for the part of the year you're a resident.

• I have arrived (or will arrive) on: ______ / ______ / ________
• I have established a home in Canada
• My family is here or arriving with me
• I understand worldwide income is taxed from my arrival date

Good to know: When you arrive, the cost base of property you already own is generally "bumped" to its fair market value on that date, so Canada doesn't tax growth that happened before you got here. Confirm the mechanics with a tax professional.

Section 6 — The CRA's determination forms (NR73 / NR74)

If you genuinely can't tell, you can ask the CRA for an opinion:

• Form NR73, Determination of Residency Status (Leaving Canada) — for people emigrating.
• Form NR74, Determination of Residency Status (Entering Canada) — for people immigrating.

You lay out your facts; the CRA gives its view. It's not strictly binding, and filing one is optional — some people prefer to take a position with professional advice rather than invite a review. Discuss the trade-offs before you file.

• I am considering filing NR73 (leaving)
• I am considering filing NR74 (entering)
• I will get advice before submitting either form

Section 7 — Treaty tie-breaker rules (dual residents)

What if two countries both call you a resident? Canada has tax treaties with many countries, and those treaties contain "tie-breaker" rules that decide, step by step, which country wins for tax purposes. They typically look at, in order:

1. Where you have a permanent home available to you.
2. Where your centre of vital interests lies (personal and economic ties).
3. Where you habitually live.
4. Your citizenship.
5. If still unresolved, the two countries' tax authorities decide by agreement.

• Another country also considers me a resident
• A tax treaty exists between Canada and that country
• I have looked at where my permanent home and vital interests sit

Tie-breaker rules can override the ordinary Canadian tests — but they only apply when a treaty exists. This is a classic situation to get professional advice on.

Section 8 — Your tentative read

Pull it together. Based on the sections above, where do you seem to land?

My tentative read (circle one):

Likely resident / Likely non-resident / Possibly deemed resident / Genuinely unsure

What I still need to confirm:

________________________________________________

________________________________________________

Remember: this is your working impression, not a determination. Residency turns on the full weight of your facts, and getting it wrong can mean double tax or missed filings. Confirm with a tax professional and the CRA.

How Treadstone Law can help

Residency questions sit where tax, family, and life decisions meet — and the cost of guessing wrong is high. Treadstone Law can help you understand the legal side of moving to or from Ontario, coordinate with your accountant, and keep your filings and elections on track.

• Flat, transparent fees — you'll know the cost before we start.
• Fully online intake — begin from anywhere in Ontario.
• Talk to a person — call 1-844-900-1070.

Learn more on our Tax page, see Pricing, or Start a File Online.

This is not legal advice

This guide is general information, not legal advice. Reading it does not create a lawyer-client relationship. Ontario laws, tax rates, and government programs change, and how the law applies depends on your specific facts. For advice about your situation, speak with a licensed Ontario lawyer. Treadstone Law is licensed by the Law Society of Ontario — reach us at 1-844-900-1070 or start a file online.