A non-resident of Canada, who's earned income from Canada, is subject to Canadian income tax requirements. Non-residents who are required to file a Canadian T1 return will report the income subject to these requirements, and claim available tax credits and deductions.
Recipients of many types of passive Canadian-sourced income pay a withholding tax and don't file a Canadian tax return. Non-resident recipients of rental, acting, or pension income may be able to elect to file a return and pay tax on taxable income instead of paying the withholding tax on gross income. A non-resident recipient of Old Age Security income may be required to file a special return.
The T1 return for a non-resident who's required to file will generally take one of two forms:
A T1 Income Tax and Benefit Return for the province in which the income was earned (if it's only income from employment, a business with a permanent establishment in Canada, income from a scholastic source, or a gain from a sale of Canadian real estate, or if the non-resident immigrated or emigrated during the year),or
A T1 Income Tax and Benefit Return for Non-residents and Deemed Residents of Canadaif there's only income from a scholastic source, a gain on Canadian real estate, non-employment services provided not from a permanent establishment, or if electing on pension income as already described
AnNR4 slipis issued by residents of Canada (and in some cases by nonresidents) who have paid certain amounts to a Canadian nonresident. The slip issuer must withhold tax from the payment to the nonresident and remit it to the government. For more detail clickhere
Entering your amounts into TurboTax
Navigate to theSearchicon by clicking on the set of binoculars
TypeIncomeinto the search bar
Select the option forIncome from Sources Outside of Canadafrom the list of populated results
When theStatement of World Incomescreen appears, enter your amounts then selectEnter