I am leaving Canada - What steps do I have to take?
Before you leave Canada
Do I have to notify someone that I am leaving Canada?
It depends, but just like everyone else, you should make a clean break before leaving Canada by cancelling all your contracts and obligations. For example:
- Cancel phone contracts
- Close bank accounts after paying off credit cards
- Cancel car insurance after selling your car
- Give notice for your rental
Your SIN (Social Insurance Number) expires automatically when your work permit ends—there’s nothing you need to do.
From a tax perspective, complete a few important steps before leaving Canada permanently to ensure a smooth tax return process from your home country.
If you have a savings or brokerage account
You should notify them that you’ve left and provide your foreign address.
TFSA (Tax-Free Savings Account): This account is only tax-free for Canadian residents. Once you leave Canada, it becomes taxable, so it’s usually best to close it before leaving.
RRSP (Registered Retirement Savings Plan): You can generally leave this account open if your bank or brokerage allows non-residents to hold accounts. However, any withdrawals after leaving Canada are subject to a 25% withholding tax. Therefore, it’s recommended to withdraw and close the RRSP before leaving Canada.
Do not discard of very important paperwork
Even after you’ve filed your Canadian tax returns, the CRA may sometimes ask additional questions or request further documents. They can do this up to six years after your return. If the CRA issues a reassessment, it’s your responsibility to prove your claims.
That’s why it’s important to take all Canadian tax documents home with you and keep them for at least six years. This is the official retention period set by the CRA. >> Read it here <<
Digital copies are perfectly fine!
In today’s world, most documents are already available as PDFs—for example, bank statements can easily be downloaded from online banking and stored on your computer or in the cloud.
There are also many apps that let you scan physical documents into PDFs, making it easy to keep everything organized and accessible.
Documents that support the claims you made on your tax return
The most important paperwork to keep are the documents that support the claims you made on your tax return, such as expenses or other deductions. For example, if you claimed any of the following, you should keep the receipts or forms:
- Employment expenses (including the T2200 form signed by your employer)
- Moving expenses
- Childcare expenses
- Tuition or education (T2202 slips)
- Medical expenses
These documents are essential in case the CRA requests proof of your claims.
Documents that show your ties to Canada while you were there
- Copies of your work permit(s)
- T4 slips for all years and all employers
- Last paychecks from each employer
- Record of Employment (ROE)
- Notice of Assessment from all years
- Rental agreements with your name on them
- Bank statements from Canadian accounts
- Bill of Sale for any cars you purchased
- Vehicle registration
- Car insurance policy
- Copy of your Canadian driver’s license
- Mobile phone contract and phone bills
- Copy of your provincial health card (Canadian health insurance)
1. Download the "Record of Employment" (ROE) from Service Canada
If your home country has a social security agreement with Canada, you can apply to have your time working in Canada credited toward your home country’s pension. To do this, contact your home country’s pension authority to confirm whether an agreement exists and which documents they require. You can submit your application as soon as you return home.
If you don’t want to claim this credit, or if your country does not have an agreement with Canada, you can skip this step.
What is an ROE?
When your employment ends—whether you were laid off or resigned—every employer is legally required to issue a Record of Employment (ROE). This document proves your employment and shows the exact period you worked for that employer.
You can also view and download your ROE online via your Service Canada Account. It’s important to register there while you are still in Canada and download each ROE after leaving a job.
Employers who submit ROEs electronically to Service Canada are no longer required to provide a copy to the employee. Some employers may still give you a copy if you ask politely.
Important: Once your SIN has expired, it is no longer possible to register a Service Canada account to get your ROE.
That’s why it is crucial to complete this step before leaving Canada.
What is a CRA Account?
The CRA Account is your personal online tax account with the Canada Revenue Agency (CRA). It gives you access to all your T4 slips from all years and employers, and you’ll also receive your Notice of Assessment in this account after filing a Canadian tax return. Other official communications from the CRA (mail) will also appear here.
Important: The CRA only communicates through your CRA Account and by regular mail. Never via e-mail.
You can register online after your first Canadian tax return has been assessed.
To register for the CRA account, you’ll need the following information
- SIN
- Date of birth
- Postal code used on your tax return
- Last tax return (you’ll be asked for the amount on line 15000)
If you need help with registration, > here < is a step-by-step guide.
And >> here << is the official CRA information.
After completing registration, you will initially have limited access to your CRA Account. You’ll be able to view the status of your tax return once it has been submitted and processed.
Once your CRA account is fully activated, you can also make changes online, such as updating your address or removing Direct Deposit information if your Canadian bank account has been closed.
2. In the CRA account: Change the multi-factor authentication
The CRA has implemented a security system to make sure only you can access your CRA Account.
You can choose from three multi-factor authentication options:
- Third-party authentication app
- Phone
- Passcode grid
For more information, see the CRA website >> here <<
Many IEC participants choose the text message option when creating their CRA Account. With this method, a one-time code is sent to your phone each time you log in. This means you can only access the CRA Account using a Canadian mobile phone number, and this option will stop working once you cancel or leave your Canadian phone number.
If you used the “text message” option to register for your CRA Account
Before you leave Canada and cancel your Canadian mobile phone plan, you must update your multi-factor authentication in your CRA Account.
Why: Once your phone plan is cancelled, you will lose access to your CRA Account if it’s still set to text messages.
Switching to either the passcode grid or an authenticator app allows you to log in without a phone and even after your SIN has expired.
3. In the CRA account: Delete or change Direct Deposit
If you signed up for Direct Deposit with a Canadian bank but then closed the account, the CRA will still try to deposit your tax refund into that closed account. Since the CRA doesn’t know the account is closed, fixing this from outside Canada can be time-consuming and stressful, and the refund will likely have to be sent by cheque.
If you prefer, you can keep your Canadian bank account open until your tax refund is processed. Once you receive the refund, you can then transfer the funds to your home country.
Wise - A great option to receive and transfer money
One of the most recommended options for transferring money out of Canada is a third-party provider called Wise (formerly TransferWise). You’ve probably heard of them—Wise has over 13 million customers worldwide.
With Wise, you get one of the best exchange rates in the international money transfer world. All transfers use the mid-market exchange rate, so you won’t lose money on hidden fees.
Transfer fees depend on the amount, the currency, and the transfer method.
Since some Canadian banks start charging monthly fees after a certain period (for example, CIBC after their 2-year promotion ends), you can open a free Wise account instead.
In your Wise account, you can create Canadian bank details. Then, update your CRA Account Direct Deposit to use these Wise account details. This ensures you continue receiving payments even after leaving Canada.
You can then close your Canadian bank account before returning home and rely solely on your Wise account until your tax return is filed and the money is received. Once the refund is in Wise, you can transfer the funds to your home country account.
If you use the link below, Wise waives the fee on your first transfer of up to $800 CAD. Pretty awesome, right?
⚠️ Important: Make sure to check if Wise is a viable option for your home country before using it.
4. Change the address to your new home address
To ensure the CRA can contact you for tax assessments or audits, you need to update your address in your CRA Account every time you move.
The CRA sends tax assessments to the address they have on file. If you don’t update it, any tax refund cheque could be sent to your last Canadian address or get lost. Therefore, it’s important to update your address in the CRA system before filing your next Canadian tax return.
How to change your address:
- Online: in the CRA account
- By phone:
- Calls from within Canada: 1-800-959-8281
- Calls from outside Canada: +1-613-940-8495
- By mail: Mail the completed form RC325 to the address on the form. This option will take 6-8 weeks to process.
5. Stop the GST/HST credit payments
If you filed a Canadian tax return for the previous year and were eligible for GST/HST payments, you will continue to receive these quarterly payments even after leaving Canada.
Important: Once you permanently leave Canada, you are not longer eligible for this credit. Depending on your departure date, you may have to repay part or all of the payments.
If you update your address in your CRA Account to a foreign address, the GST/HST payments will automatically stop.
If you still receive GST/HST payments
If you don’t have a CRA Account or continue to receive GST/HST payments despite updating your address, you must call the GST department directly to stop the payments immediately: 1‑800‑387‑1193
If you don’t call, keep in mind two important points:
- Do not spend the money. The CRA will calculate any amount you must repay on your next tax return.
- Repayments can only be made through a third-party provider by credit card, and a processing fee will apply.
After you left Canada
1. Gather all T4 from all employers in the tax year you left
Around February or March of the following year, you will receive a T4 from each employer.
The T4 (Statement of Remuneration Paid) is a summary of your tax year, reporting all earnings and deductions to the CRA. You need a T4 from each employer to file your Canadian tax return.
Employers are legally required to issue your T4 by the end of February, even if you only worked there for a few days. In most cases, T4s are sent by regular mail, so make sure to provide your current address. You can also request the T4 by email—a PDF or scan is sufficient; you do not need the original document.
If you haven’t received your T4 by the end of March (including postal time), send a reminder to your employer.
If you have access to your CRA Account, you can also download your T4 from there. Note that you can only register for a CRA online account after filing a Canadian tax return.
If you never created an online CRA account, there are two additional options >> shown here. <<
If you had a savings account earning interest:
Was it more than $50 in interest for the year? Then your bank will issue a T5 slip. Depending on the bank, you can either download it from your online account or it will be sent by mail.
If you have access to your CRA Account, you can also download the T5 from there. You must wait for this slip before filing your tax return.
Important: T5 slips are only issued if the interest exceeds $50 for the tax year. Even if you don’t receive a T5, you are still required to report all income, including interest, on your tax return.
If you received government benefits
For example, Employment Insurance (EI) benefits due to job loss:
You will receive a T4E slip around mid-February from Service Canada. You can download it from your Service Canada account, and it will also be mailed to the address they have on file.
If you have access to your CRA Account, you can also download the T4E from there.
Important: Wait for the T4E slip before filing your taxes. It can have a significant impact on your tax return, since not enough taxes may have been deducted from these benefits when you received them.
2. File your last Canadian tax return
Since you have left Canada permanently, you must file your final tax return on paper and mail it to the CRA. Currently, there is no online filing software for taxpayers who left Canada during the tax year.
Canadataxback.com assists IEC participants who have permanently left Canada. You can request a tax calculation first, and then decide if you want to use the taxback service, which is one of the most affordable online.
- Tax season begins at the end of February for the previous tax year.
- Tax deadline: April 30 for taxes owing; you have up to 10 years if you expect a refund.
Below, you’ll find the step-by-step process and a secure taxback calculation form, allowing you to submit your T4 slips safely and securely.