Originally Posted by ExcitedBrit (Post 7801861)

Does anyone know if there could be any issues with depositing new funds in canadian bank account after landing, these are funds that I couldn't access when I was moving here and I now would like to have this transferred into my account in canada.Its not a big amount, just $5000 in the form of a bankdraft. Will Revenue Canada treat this as income...also I declared I had less than $10,000 when I moved in(which was true at that time) but now if I deposit the new amount my account will be around $10,000 or more. Any risk getting fined there for not reporting this when landing?

Originally Posted by PMM (Post 7801983)

Hi



1. No, it won't be treated as income. There are no taxes on money, only if it is earned income.

Originally Posted by ExcitedBrit (Post 7802011)

ok thank you so much, it takes a weight off my mind. I assume I wont have to prove to Revenue Canada that this amount I deposited is not money earned here in Canada? Cheers

Originally Posted by PMM (Post 7801983)

Hi



1. No, it won't be treated as income. There are no taxes on money, only if it is earned income.

Originally Posted by The Aviator (Post 7802071)

You don't say the source of these funds. If you are a Canadian tax payer it does not matter whether it was earned here or somewhere else, it is still income. If it was an insurance policy or the like and you owned the funds prior to becoming a tax resident, then it it unlikely to be considered income.

If it was an insurance policy or similar and the funds increased in value between landing and you receiving them, any gain in value may become taxable as interest or unearned income.

If asked, you will have to prove to CRA where the funds came from and their source, even if they prove to be non taxable. You are required to keep all paperwork for 7 years. If ever audited or sent an assessment by CRA saying you owe money, the onus is on the taxpayer to prove you don't owe CRA money, not on CRA to prove you do.

Originally Posted by kleinluka (Post 7802182)

BTW, not meaning to hi-jack the thread but... what happens if you've been in Canada on TWP for a few years and and show proof of funds to the IO during landing with an amount higher than $10 000 but the IO only writes $10 000 on the COPR under "money in possession"? I realized this now after looking at my COPR he didn't write the exact amount that was listed on the Canadian bank statement I showed him. Should I report this?

Originally Posted by ExcitedBrit (Post 7802097)

Ok makes it clearer now, so I need be prepared then if asked about it. Not too surprised about this though...heard on the radio today how they gonna tax people who sell stuff on ebay canada. Looking for every cent they can grab from us:blink:

Originally Posted by kleinluka (Post 7802182)

BTW, not meaning to hi-jack the thread but... what happens if you've been in Canada on TWP for a few years and and show proof of funds to the IO during landing with an amount higher than $10 000 but the IO only writes $10 000 on the COPR under "money in possession"? I realized this now after looking at my COPR he didn't write the exact amount that was listed on the Canadian bank statement I showed him. Should I report this?

Originally Posted by PMM (Post 7802190)

HI



Note it is less than $10K so it isn't even reported by the bank to Fintrac.

Originally Posted by The Aviator (Post 7802210)

Unless you have earned income or gains from overseas sources, no need to report capital owned prior to becoming a tax resident. Any revenue earned from these funds is reportable. Keep statements and documentation in case you are ever asked to produce it. An audit rarely goes back more than 3 years, but can go back as far as 7. Deliberate evasion, they can go back as far as they like.

Originally Posted by kleinluka (Post 7802247)

Thanks a lot! I just called CBSA just to be sure and they said it's all good.

Originally Posted by The Aviator (Post 7802267)

CBSA don't speak for the CRA though. The $10,000 threshold reporting to CBSA is for money laundering rules. Worth hanging to paperwork for a while in case a tax inspector ever asks and you need to prove you owned the funds prior to coming to Canada, no matter how unlikely that may be.

I would not get too concerned about it if it's all above board.