If you’ve earned income in 2024 and maintain any sort of residence in Canada, you’re likely to be legally required to file a Canadian income tax return this spring.
Many temporary residents of Canada—including foreign workers, international students, and even some visitors—will likely be considered residents of Canada for tax purposes.
Subscribe and get our Newcomer’s Guide to Canada
Your immigration status has no bearing on whether the Canada Revenue Agency (CRA) will consider you a resident of Canada for tax purposes.
Everyone in Canada must comply with Canadian law, including laws around taxation.
Additionally, if you wish to apply for Canadian citizenship, you’ll need to have filed tax returns for the years in which you were legally required to.
For the 2025 tax season, the deadline for most individuals to file their 2024 income tax return is April 30, 2025.
This article will cover
- Who is considered a resident of Canada for tax purposes;
- Who is legally required to file Canadian income taxes;
- Some benefits of filing a Canadian tax return, even if you’re not legally required to file; and
- How to file a tax return.
Who is a resident of Canada for tax purposes?
Your tax residency status depends upon your residency ties to Canada.
The CRA considers the following primary residential ties:
- A home in Canada.
- A spouse in Canada.
- Dependents in Canada.
The CRA also considers secondary residential ties, such as the following:
- Personal property (e.g., car, furniture).
- Social ties (e.g., membership in a recreational or religious organization).
- Financial ties (e.g., Canadian bank account, Canadian credit cards).
- Public health insurance coverage with a Canadian province or territory.
- A driver’s license issued by a Canadian province or territory.
- A Canadian passport.
The above lists are for general information purposes only and are not exhaustive.
Most temporary residents who live predominantly in Canada will be considered residents of Canada for tax purposes.
For more guidance on determining your tax residence, the CRA suggests consulting “Income Tax Folio S5-F1-C1, Determining an Individual’s Residence Status.”
For assistance in determining your residency status for tax purposes, you can also call the CRA at 1-800-959-8281.
If you are a deemed resident of Canada, you’ll owe Canadian income taxes on your worldwide income for each tax year in which you’re a deemed resident.
Who is legally required to file Canadian income taxes?
If you are considered a resident of Canada for tax purposes, you are legally required to file a tax return if at least one of the following applies to you for the taxation year:
- You have to pay tax.
- You have earned income of over $3,500 (for the entire year).
- You disposed of capital property (including your principal residence).
- You realized a taxable capital gain.
- You have to repay Employment Insurance (EI) benefits.
- You’ve withdrawn from your Registered Retirement Savings Plan (RRSP) under the Home Buyer’s Plan or Lifelong Learning Plan, and have not yet repaid all amounts.
- You are paying EI premiums on self-employment income or other eligible earnings.
- You have to repay Old Age Security (OAS) benefits.
If you haven’t been earning any income, it’s possible that you may not legally be required to file taxes.
But there are many other situations in which you may wish to file a tax return even if you’re not legally required to – as filing can gain you access to government-funded benefits.
Benefits of filing – even if not legally required
If you are a resident of Canada for tax purposes and owe no tax, it’s in your best interest to file a tax return, for you can expect to receive a tax refund.
The Canadian federal government administers many benefits through the income tax system.
Filing a tax return may qualify you to receive one or more of the following:
| Benefit | Who qualifies | Maximum annual benefit amount |
|---|---|---|
| Canada Carbon Rebate | Individuals ≥ 19 years old, living in any province except BC or Quebec. | $380 – $900 (varies based on your province). |
| Canada Child Care Benefit (CCB) | Individuals with children under age 18 – includes temporary residents who’ve been living in Canada for ≥ 18 months. | $7,787 per child aged < 6; $6,570 per child aged 6 – 17. |
| Canada Worker’s Benefit (CWB) | Low-income workers ≥ 19 years old (not full-time students). | $1,590 (single); or $2,739 (family). |
| GST/HST Credit | Individuals ≥ 19 years old. | $519 (single); or $680 (married). |
The above are only a few of the most common benefits; there are many additional benefits and credits that may be available, depending on your situation.
In the first year you arrive in Canada as a newcomer, you can apply to the CRA to gain access to some of these benefits.
In the years after your first year of arrival, you will need to file a tax return to gain access to these benefits.
How to file
You can file your tax return either on paper or online.
Most Canadians choose to file online, using specialized income tax software.
You have the option of preparing your tax return yourself, or hiring a professional to do your taxes for you.
There are also volunteer tax clinics that you can attend to receive help with your taxes at no cost.
Many Canadian tax payers elect to hire professional tax preparers, due to the complexity of Canada’s tax system.
Some knowledge of the tax system is generally required in order to maximize your benefits so that you owe the least tax, and/or receive the largest possible tax refund for your situation.
Subscribe and get our Newcomer’s Guide to Canada