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Pastimes : INVESTMENT TAXES...Canadian -- Ignore unavailable to you. Want to Upgrade?

To: Condor who wrote (1)	1/2/2000 11:14:00 AM
From: Condor	Read Replies (1) \| Respond to of 6

Hi Lino, I am vaguely familiar with the questions you asked. If one is absent over half the year then he technically becomes a foreign resident and would lose Canadian benefits and be taxed in the country of his residency. So, if over 6 months he would pay tax on capital gains in the country where he is living (assuming in excess of 6 months) on all trades no matter in which country those investments were made. Conversely, as a CDN living in Canada, it doesn't matter where I trade, I pay the taxes for gains as if they were all made in Canada. No US taxes would be due even though those trades were made on Nasdaq or NYSE etc. One way around Cap gains for all investments arou world would be to open a corporation in say the Caymans and the trades would occur through there and be taxed at the Cayman rates which I believe are zero. This would undoubtedly only be beneficial to a rather large investor. If you live outside Canada for more than 6 months you would have to apply to Revenue Canada for Non Residency status to be able to take advantage of the tax arrangements we spoke of. However, you may jeopordize (sp?) CPP benefits etc and it may complicate your RRSP plans etc. I don't know. Iwould hope others would jump in here and help you and I with your question. Regards C