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RETIRED CANADIAN AND TAXES

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dltoomey

I am unable to get the tax treaty information from the govt website...

Is anyone uptodate on how a retiree is taxed on pensions?

HelenPivoine

It totally depends on other variables.  Like, have you filled out a form NR-5, do you need to use other income tax forms to either inform the govt that you are a resident of Ecuador, or to inform the govt that you have been overtaxed and be very specific, etc.  After many long conversations with the CRA, I am convinced that you need to talk with them about your specific circumstances.  Do you have any investments, what is the size of your pension do you have non-govt pensions in addition to OAS and CPP, etc.  For e.g., if you are solely receiving the CPP and OAS, you may think that, due to the tax treaty with Ecuador, you will be taxed on a 15% basis.  Not so.  By using various methods, you can be taxed at only 1% on your pensions.  Get down and dirty with those CRA folks, they are not your enemies, although at first I was certain that they were, they are good people trying to help you.  And beware of the tax deadlines for your situation.  If you have investments, make sure that the withholding taxes are correct. You can do this!
HelenP

HelenPivoine

Just google something like Canada Ecuador Tax Treaty and bob's your uncle.

dltoomey

thx for all the info!

Deb

Lafrisee

There is a treaty with Ecuador and the % is 25. However, it could be different depending of your source of income.... If you call CRA, they will tell you everything you need to know 😊

dltoomey

thx much!

HelenPivoine

This info is incorrect, if you are referring to the tax treaty between Ecuador and Canada, it is NOT 25%.

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