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What happens to my RRSP account if I become a non-resident?

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Canadian citizens that have become non-residents can continue to hold RRSPs after leaving Canada. Canadian financial institutions will withhold a non-resident tax of 25% (unless reduced by treaty — an agreement between two countries designed to avoid or mitigate double taxation) for certain types of Canadian source income to non-resident Canadians which includes RRSP payments. Non-resident Canadians should also consider taxation in their country of residence.

The Canada Revenue Agency (CRA) has a non-residents tax calculator to help estimate taxes owing on many types of income, including income from an RRSP. Consult with a qualified professional for advice that fits your personal and financial situation.

 

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