June 30 Tax Deadline is Looming for Non-Residents

An important deadline is approaching for non-residents with certain Canadian-source income. June 30 is the deadline to file elected returns under Section 216 (pertaining to rental income) and Section 217 (pertaining to Canadian source pension income). There may be significant consequences for missing this deadline as returns received after this date, generally aren’t accepted. Here’s what you need to know:

Today is the day that Canadians who qualify should have received their OAS and CPP government benefits and the next payment is June 26.  But a new tax-free benefit of $300 will also arrive soon.

There’s more financial relief ahead for Canadians, as prescribed interest rates are set to decrease on July 1. That means shareholder loans, inter-spousal investment loans and other taxable benefits likely should be planned for Q3. 

If you are looking for that next professional development course that will help you provide high-value advice to your financially stressed clients, take the Pandemic Benefits Response Course online to sort through the chaotic myriad of benefits and all their pitfalls. Every professional in the tax, bookkeeping or financial services must know how to do that. Enrol by May 31 save $100.

Now is the right time to start a new conversation about retirement with your clients and give a high-value gift to move it forward. Get your copies of Master Your Retirement, Doug Nelson’s best-selling book – with a special offer.

The federal government extended its Canada Emergency Wage Supplement (CEWS) until August 29 last week, and that’s good news for business struggling to recover as Canada comes out of COVID lockdown. That now extends the program to 24 weeks, retroactive to March 15, 2020.

Seniors who qualify for some portion of the OAS (Old Age Security) will receive a one-time tax-free payment of $300 from the federal government to help with COVID-related costs while GIS recipients will get $200 more. Further, another tax information filing extension was announced with this news on May 12: this time to October 1, 2020. For those who don’t need the money there are some interesting leveraging and sharing opportunities.