3) A Canadian citizen accepts a four-year assignment in the US and intends to return to Canada.
The length of this assignment is normally beyond the treaty’s application.
It is not a written rule, but absences longer than two years generally make the individual a non-resident of Canada. Things might be complicated if the individual had a spouse and/or dependent children still residing in Canada and they returned home on a regular basis. However, one will normally take their family with them during a four-year contract unless the location of that assignment is close to the border. In this situation, the individual will file a final return with Canada Revenue and begin filing resident tax returns in the United States. At this juncture, there are other disclosures that must be made when one departs from Canada.
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