Transfer of funds to Canada before moving
 

Can anyone advise me if transferring funds into a Canadian bank account prior to our actual move, would mean that we would be liable to be taxed?
We have "landed" and received our PR cards, however, we are not due to actually move & commence work until next Summer.
Would we be classed as being taxable due to having funds in the country, or do we actually have to be living there?
Thought we may try and transfer whilst there is a bit of a peak in the exchange rate. We wouldn't be transferring any more money than we stated in our paperwork when we landed, if that makes any difference?
Hope someone can advise.
Thanks.

Re: Transfer of funds to Canada before moving
 

You are only liable for tax on the interest the money makes.

Re: Transfer of funds to Canada before moving
 

Thanks for your reply. Do you know whether the tax gets taken out of the interest automatically like in the UK banks, or is it done through the Annual Tax Return, which I believe we wouldn't start until we arrive?
Thanks again.

Re: Transfer of funds to Canada before moving
 

There is no non-resident withholding tax on interest so they will pay you the interest gross. Up to the day you move to Canada you will pay tax on this interest in the UK. From the day you move to Canada you will put it on your Canadian tax return. Interest is paid gross to Canadian residents.

Re: Transfer of funds to Canada before moving
 

JonBoyE, Thank you for the information. That makes sense. I was just concerned that moving the money, would activate us having to do a Canadian Tax Return. Which I thought would be a bit complicated, whilst being in the UK. Entering the interest info onto our UK one will be straight forward. Just hope the rate keeps rising!!
Thanks again.