T1159 form canada 2025

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Canadian financial institutions and other payers have to withhold non-resident tax at a rate of 25% on certain types of Canadian-source income they pay or credit to you as a non-resident of Canada. The most common types of income that could be subject to non-resident withholding tax include: interest.
As a non-resident of Canada, you pay tax on income you receive from sources in Canada. The type of tax you pay and the requirement to file an income tax return depend on the type of income you receive. Generally, Canadian income received by a non-resident is subject to Part XIII tax or Part I tax.
You should send the CRA Form NR6 on or before January 1 of each year or before the first rental payment is due. After the CRA approves your Form NR6, your agent can withhold non-resident tax of 25% on your net rental income (that is the amount of rental income available after the rental expenses have been paid).
The 90% rule refers to at least 90% of a non-residents income from the tax year being sourced in Canada. If you have earned at least 90% of your net income in the tax year in Canada you will be entitled to claim non-refundable tax credits, allowing you to earn up to $15,705 tax-free income in Canada.
The good news is that even if you leave Canada and become a resident of another country you can still keep your RRSPs intact. Youll only pay a 15% withholding tax on periodic withdrawals or 25% on lump sum withdrawals.
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Form T1159: Income Tax Return for Electing Under Section 216. Schedule T776: Statement of Real Estate Rentals - details your rental income and expenses. NR4 Statement of Amounts Paid or Credited to Non-Residents of Canada: For the tax withheld on your rental income.
Interest income Non-resident aliens US-source interest is generally subject to a flat 30% tax rate (or lower treaty rate), usually withheld at source. Note that certain portfolio interest earned by a non-resident alien is generally exempt from tax.

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