Filing section 216 as a Canadian Emigrant (non-resident) for 2022

[taxcad]

I emigrated out of Canada in Feb 2022. I do own rental properties in Canada, however I was ignorant, and didn't withhold nor remit 25% of my gross rental income for 2022. I started doing that for 2023.

So for 2022 tax returns, do I need to elect under section 216 and report my rental income and expenses for 11 months (Feb to Dec) of 2022? So that CRA can do the assessment and charge me with any taxes and penalties owed?

 

[Geo123]

Hello taxcad ,

You can still file without the tax remittance.

FYI - Electing under section 216 of the Income Tax Act
As a non-resident of Canada, you can choose to send the CRA a separate Canadian tax return to report your rental income from real or immovable property in Canada. Choosing to send the CRA this return is called electing under section 216 of the Income Tax Act.
https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/t4144/income-tax-guide-electing-under-section-216.html#P117_7353
 

[taxcad]

Thanks @Geo123 My CPA said that even by filing the normal tax return (T1) along with the statement of real estate rentals (income & expenses) for all months of 2022 would be sufficient for CRA to be able to assess. Any thoughts on this? Or should I elect under section 216 specifically?

[Geo123]

Hello taxcad,

If the CPA says it is sufficient that it should be fine, you can always confirm with the CRA.