There are many different options available to people who are looking at offshore investments to help them reduce the tax that they will have to pay in a country. But one as to ensure that only legitimate route is chosen as there are many illegitimate activities that can be done when we consider offshore tax planning. It is also known as international tax planning as you take your funds to an international location to operate a business or to invest in an existing business.

If you are a Canadian Resident, then you are taxed on your worldwide income and filing of returns to the Canadian Revenue Agency (CRA) is mandatory. If you are a non-resident, the taxation policy is different and you have to declare all Canadian income while filing the returns. But to know how to file your taxes, you first need to determine your residency status for tax purposes.

If you are planning on doing some offshore tax planning, by investing some money offshore, then you should be aware that almost all countries have signed tax treaties with Canada, and if you are a Canadian Resident, then income from these investments will also be calculated and considered as income and will have to be declared while filing the income tax returns. But if you are a non resident of Canada, there are options for you to do some international tax planning, but it is always better to avail the services of an income tax expert to help you.

There is a basic thought among tax payers that using tax haven countries is a form of international tax planning and that they will be able to project them offshore investments if they are brought up by the tax authorities. The fact is that international tax planning is very complex in nature as it will involve a lot of procedures and approvals to be put in place in a legitimate way and it is definitely not in any way related to the countries that provide a haven for people who are looking to save tax in an illegal way. International tax planning is considered to be a legitimate way to enhance your business and personal assets while ensuring safety of the assets.

It’s a recognized proven fact that absolutely no taxation foibles tend to be clear to see, so it’s usually easier to look for the aid of an income tax expert that will help you using the taxation methods. Likewise non-resident taxes advantages aren’t simple because there are plenty associated with clauses as well as rules involved with all of them. Consequently in order to take full advantage of the advantages that you’re walking to be the no citizen of your house nation, get the actual providers of the taxes advisor who’s a specialist within just offshore taxation.

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