Question for Canadian members

[Montanan]

Originally Posted by Bourne Free

Great information: I am in a similar situation, recently retired I want to take my boat south from Sept to May, which is more that 183 days an I am wondering how to make this work. I will not be working outside Canada.
1. Can I fly back for a month or so mid season?
2. Is a Canadian flagged boat not considered Canadian territory?
Any suggestions...

The key is being outside of Canada for 183 or more days per tax year.

Your Canadian flagged vessel has been granted Canadian nationality, but the vessel is not itself Canadian territory.

Suggest just leave the boat in the south and you return before the cumulative 183 days tolling happens. As I understand Canadian taxation and bennies, it is not the consecutive days away, rather it is cumulative days away during the tax year that count.

Note, being a Snowbird, you will need to watch the days away count, as to your migration south by calculating from January 1st to your return date in May and thence add your winter departure in September to December 31 so as to note let that exceed a cumulative 183 days within the tax year.

The tax year in Canada runs from January 1st to December 31st.

It is rather similar to the Schengen territory as to visa, being up to 90 days in any rolling 180 day period.

[Mike OReilly]

In Ontario (and a few other provinces) you can be out of the province for up to 212 days (seven months) in any 12-month period, provided that you continue to make Ontario your primary place of residence. Some provinces use six months, or 183 days. But it's not strictly the calendar or tax year, it's any 12-month period.

So no, you can't just fly back for a month and then reset the seven-month clock. They sealed that loophole by making in any 12-month period.

And the clock is ticking as soon as you leave your home province, not just the country. Many Canadians don't seem to realize that you can lose your provincial healthcare coverage by being in another province for longer than the allowed period. I've never actually heard of this being enforced, and since there are no inter-provincial border checks, it would be difficult to prove, but legally speaking one needs to be physically in your home province for that period to maintain health insurance status.

I'm sure all the info is online. For Ontario check out:

https://www.ontario.ca/page/ohip-cov...outside-canada
https://www.health.gov.on.ca/en/publ...hipfaq_mn.aspx

[sv_pelagia]

Originally Posted by Mike OReilly

And the clock is ticking as soon as you leave your home province, not just the country. Many Canadians don't seem to realize that you can lose your provincial healthcare coverage by being in another province for longer than the allowed period. I've never actually heard of this being enforced, and since there are no inter-provincial border checks, it would be difficult to prove, but legally speaking one needs to be physically in your home province for that period to maintain health insurance status.

Actually happened to me: was a student for 4 years in Ottawa. At the end during all the stress, guess I forgot to send my regular proof to BC of being a student.

Didn't receive any notice, but discovered BC MSP had cut me off when I went to the emergency room (for a very painful ear problem) and they told me I had no insurance.

(As I was a graduate student in hearing research, I was able to find a helpful ENT to solve my ear issue... at no charge. phew....)

[Montanan]

Good point Mike as to the provincial health care coverage which is not based on the tax year but instead a rolling 12 month period.

Lots of detailed rules specific to their applications.

Sorry for asking, but why would a Canadian want to leave Canada for more than six months in any 12 months?

[Mike OReilly]

Originally Posted by Montanan

Good point Mike as to the provincial health care coverage which is not based on the tax year but instead a rolling 12 month period.

Lots of detailed rules specific to their applications.

Sorry for asking, but why would a Canadian want to leave Canada for more than six months in any 12 months?

Right now, just to get away from the incessant honking (I'm in Ottawa ).

[Montanan]

So that city would be pronounced Honkawa.

[Mike OReilly]

Originally Posted by Montanan

So that city would be pronounced Honkawa.

[Uricanejack]

This has never occurred to me.

I have several friends, who head south for the winter. For extended periods. The usual concern being covered for medical insurance while down south.

I would have thought, so long as I am paying both federal and provincial tax on my income.
My body’s physical location didn’t matter.
In the past I was aware as a landed immigrant, there was a 3 month limit, which I was allowed to exceed because I was working outside of the country.

A few years after I moved to Canada. I was quite surprised to find out there was a warrant out for my arrest for tax evasion in the Uk.
It never occurred to me I was supposed to tell the Tax man I had left. Having been working offshore, before I left, they just assumed I made the same as my last tax return and kept adding the bill up.

All I had to do was send a copy of my Canadian tax return. To prove I was living in Canada and paying Canadian tax. It all got sorted.

They appear to be quite happy if you are paying tax somewhere. They didn’t expect me to pay twice.

Which reminds me, it must be near time to do my taxes.

[pcmm]

Originally Posted by Montanan

Good point Mike as to the provincial health care coverage which is not based on the tax year but instead a rolling 12 month period.

Lots of detailed rules specific to their applications.

Sorry for asking, but why would a Canadian want to leave Canada for more than six months in any 12 months?

Can’t sail on hard water!!

[Montanan]

Originally Posted by pcmm

Can’t sail on hard water!!

"Can't" or would that be: "don't desire to"?

[Mike OReilly]

Originally Posted by Uricanejack

This has never occurred to me.

I have several friends, who head south for the winter. For extended periods. The usual concern being covered for medical insurance while down south.

I would have thought, so long as I am paying both federal and provincial tax on my income.
My body’s physical location didn’t matter.

Unfortunately not so. I believe part of the rationale for this, specifically for healthcare, is that it is funded in part by provincial tax dollars. And all provinces, except Alberta, generate a lot of their revenue from provincial sales taxes. If you're not here, you're not paying those.

I know the snowbird association has been warning its members for some time now to be careful about over-extending their stays outside the country. As far as I've heard, CBSA is not sharing transit data with provincial health authorities, but there is a digital record of people crossing the Can/US border. In theory, they can know how long you've been out of the country.

[argonauta1]

Hi, well, if you follow to the letter all the rules, you will never go anywhere beyond 6 months. But, if you are in good health and as you must be, of an adventuresome spirit, then you might decide to ignore some of the more show stopping restrictions. Two most important things to do: maintain the validity of your Provincial Health Card and your Provincial Drivers Licence. Of course, it is a given to maintain a current passport. The Health Card no matter how long you are out of Canada maintains validity to expiry date. Just don't get sick out of country and try to claim. As someone suggested, you can apply for a one time extension up to I think two years which might be helpful. In our ten year circumnavigation out of Ontario, we did that once. Most important though is the drivers Licence as without one you cannot rent a car or otherwise drive out of country. Thus it must not be allowed to expire. Most countries will not accept the International Licence without a national drivers license.

Back to the health care thing, many cruisers out there, especially Americans find that self funding health care turns out to be cheaper in the long run if one is reasonably healthy. That is because much of a circumnavigation will take you through countries with inexpensive but excellent care. Panama, Polynesia and most of the South East Asian countries for example. Just know your First Aid and have a working knowledge of basic meds: antibiotics et al as most of them are available in many countries over the counter. Incidentally if as we did, you spend a year or so in Australia, you can buy a Visitor Health Care plan. We did the first time but did not the second visit.

As to time out of Canada, there is no limit so long as you keep the passport up to date. We were out for one occasion for over two years but breezed through immigration in Toronto although they did question us as to where we had been. Then with a still valid Health Card and Drivers Licence, we reverted to non travelled Canadian status without fanfare or comment.

The above may seem a bit off the wall but in reality, we found many sailors doing similarly. Good luck!

[argonauta1]

Further from ARGONAUTA I

I should have mentioned that we did look into becoming "non residents for tax purposes". It did not work for us being underway to the next place or country throughout. Therefore we remained as Canadian residents and paid the normal rate of income tax Federal/Provincial as all residents must. As well, we maintained our principal residence throughout.

[boatpoker]

!0 round trips from Ontario to points south over 30 years. Leaving Ontario in August and returning in June. Never made any healthcare/tax adjustments (can't be bothered), never had an issue. I know it's not legit but leaving and returning by boat seems to be below their radar. The powers that be are just not that efficient and I don't deal well with bureaucracy

[sv_pelagia]

Originally Posted by argonauta1

The Health Card no matter how long you are out of Canada maintains validity to expiry date.

Well, this certainly is NOT true for British Columbia!

(Of course, you might get away with it, but one is taking a chance.)