Need Help With Canadian Taxes as a Non-Resident?

Canadian Non-Resident Tax Guide for Property Owners Abroad

For Canadians living overseas who own, rent, or sell property in Canada

If you’re a Canadian living abroad and you own property in Canada — rental, vacation, or investment — you have ongoing tax obligationswhether you realize it or not. And unfortunately, CRA doesn’t accept “I didn’t know” as a filing strategy.

That’s why I partner with Julie Côté, a Canadian non-resident tax specialist who has spent 15+ years helping expats stay compliant, avoid penalties, and — critically — keep more of their money.

Expert Canadian Non-Resident Tax Support

For Property Owners Living Outside Canada

Julie and her team support 500+ non-resident property owners annually and participate in 200+ Canadian real estate transactions per year — specializing in the tax realities of Canadians living abroad.

Their approach is built on:

• Expertise
• Compliance
• Efficiency
• Integrity
• Reliability
• Personalized      Service

Translation: no guesswork, no penalties, no unnecessary tax leakage.

Our Mandate

To maximize the profitability of your Canadian real estate investments while ensuring full compliance with federal and provincial tax law — and helping you avoid penalties, interest, and ugly letters from CRA that ruin otherwise nice mornings.

Canadian Non-Resident Real Estate Tax Services

Julie’s team provides full-service support for:

• Non-Resident      Income Tax Returns
• NR6      Applications & NR4 Slips
• Certificates      of Compliance for Property Sales
• Capital      Gains Calculations
• Tax      Planning for Canadians Abroad
• Bookkeeping      for Rental Properties
• Professional      Training for Realtors, Lawyers & Mortgage Brokers

What Canadians Living Abroad Need to Know

If you live outside Canada but own Canadian real estate — rental or personal-use — you still have Canadian tax obligations. Ignoring them doesn’t make them disappear. It just makes them compound.

Let’s walk through the big ones.

Rental Properties Owned by Non-Residents

If you earn rental income from Canadian property while living abroad, you are subject to Part XIII withholding tax — meaning:

25% of your gross rental income must be remitted monthly to CRA

Yes — gross, not net.
Yes — even if you’re losing money.

Failure to comply can trigger severe penalties and interest, starting from your very first month of rent.

The Fix: NR6 Election

Julie can help you file an NR6, which allows CRA to tax you on net rental income instead of gross, meaning you keep more cash flow throughout the year instead of waiting for refunds later.

Underused Housing Tax (UHT / TLSU)

Since 2022, many non-resident property owners must file an annual Underused Housing Tax return, and potentially pay:

1% of the property’s value per year

Even if you're exempt from the tax, the filing itself is still mandatory.

This applies federally and is separate from provincial vacancy taxes.

Quebec Landlords: RL-31 Slips

If your rental property is in Quebec, you must issue RL-31 slips to your tenants each year — regardless of their tax situation.

Deadline: February 28 annually
Non-compliance = penalties.
Yes, Revenu Québec actually checks.

Selling Canadian Property as a Non-Resident

If you’re a non-resident selling or gifting Canadian real estate, welcome to one of CRA’s favorite hobbies: withholding your money until proven innocent.

Julie handles this through a two-step process:

Step 1 — Certificate of Compliance

CRA requires tax prepayments on 100% of the capital gain, excluding selling costs. These funds are withheld by the lawyer or notary at closing until CRA confirms compliance — after which remaining funds are released to you.

Without this certificate, the buyer becomes liable for your taxes.

Step 2 — Final Capital Gains Tax Return

Once your actual profit (or loss) is calculated — including selling costs — you file your return to recover some or all of the funds withheld in Step 1.

This process is mandatory. There is no “I’ll deal with it later.” CRA will deal with you first.

Key Definitions for Canadian Non-Resident Property Owners

Non-Resident

An individual living outside Canada — whether Canadian citizen or foreign national. For corporations and trusts, residency depends on place of incorporation or trustee location.

Property Owner

The individual(s), corporation, or trust listed on the legal title.

Part XIII Withholding

Mandatory monthly remittance of 25% of gross rental income by non-residents.

NR6 & Canadian Agent

An annual election allowing a non-resident to remit 25% of net rental income instead of gross, by appointing a Canadian tax agent.

Disposition

Any sale or transfer of property — including gifts — triggers tax. Canada does not recognize tax-free property gifts. Ever.

Certificate of Compliance

CRA document confirming tax prepayments on property sales and releasing buyers from liability.

Underused Housing Tax (UHT / TLSU)

A federal 1% annual tax on certain residential properties owned by non-residents, with mandatory filings even when exempt.

GST / HST / QST

Sales taxes applicable to commercial properties and short-term rentals. Owners must register, collect, and remit appropriately.

Why This Matters (And Why You Shouldn’t DIY This)

Non-resident tax is one of the most aggressively enforced areas of Canadian tax law — because CRA knows:

1. You’re      far away
2. You’re      confused
3. You      probably didn’t file

Which makes you… profitable.

Julie’s entire practice exists to reverse that power imbalance.

Speak With a Canadian Non-Resident Tax Expert

If you’re a Canadian living abroad and you:

• Own      rental property in Canada
• Sold      or plan to sell Canadian real estate
• Are      unsure whether you’re compliant
• Want      to stop losing 25% of your rent to CRA unnecessarily