Tax Return Residency Questions

[LuckEh]

I'm a Canadian Citizen living in Manitoba and married my wife (who had never been to Canada), a US Citizen, and she moved in with me Sep 2020 and after quarantine, applied for Inland Spousal Sponsorship. Couple weeks ago it got returned and she's since moved temporarily back to the US, we're applying Outland now so she can work in the US and will move back when it gets approved.

For the 2020 tax return, I believe that because she moved pretty much all her stuff and settled with me and applied for PR that would be considered a significant tie to Canada. I believe from reading that she would be considered an Ordinarily Resident. She was a student and made less than $5,000 before coming to Canada. She doesn't have a SIN as didn't get the OWP approved. When filing my online tax return, the tax refund jumps up a couple thousand if I report her worldwide 2020 NET income which makes me want to report her income!

For any of these questions if you have an answer/opinion let me know:
Would you say she was a resident of Canada as of Dec 31 2020?
Would you claim her NET 2020 world income on your tax return?
Would you file a separate tax return for her even though she no longer is in Canada (for now) and doesn't have a SIN and didn't work in Canada?
Any other recommendations?

 

[Canada2020eh]

I'm a Canadian Citizen living in Manitoba and married my wife (who had never been to Canada), a US Citizen, and she moved in with me Sep 2020 and after quarantine, applied for Inland Spousal Sponsorship. Couple weeks ago it got returned and she's since moved temporarily back to the US, we're applying Outland now so she can work in the US and will move back when it gets approved.

For the 2020 tax return, I believe that because she moved pretty much all her stuff and settled with me and applied for PR that would be considered a significant tie to Canada. I believe from reading that she would be considered an Ordinarily Resident. She was a student and made less than $5,000 before coming to Canada. She doesn't have a SIN as didn't get the OWP approved. When filing my online tax return, the tax refund jumps up a couple thousand if I report her worldwide 2020 NET income which makes me want to report her income!

For any of these questions if you have an answer/opinion let me know:
Would you say she was a resident of Canada as of Dec 31 2020?
Would you claim her NET 2020 world income on your tax return?
Would you file a separate tax return for her even though she no longer is in Canada (for now) and doesn't have a SIN and didn't work in Canada?
Any other recommendations?

No, not a resident. Why would you claim her income, only claim your own. She was never a resident, she doesn't file a CDN tax return.

 

[canuck78]

You do have to state her international income as you are married but that is for benefit/tax credit calculation.

 

[LuckEh]

You do have to state her international income as you are married but that is for benefit/tax credit calculation.

No, not a resident. Why would you claim her income, only claim your own. She was never a resident, she doesn't file a CDN tax return.

Thanks! I meant to say "state her NET income" and not "claim". I second guess myself, so I appreciate the responses. So I'll put her down as a non-resident, but I'll state her world NET income!

 

[canuck78]

Thanks! I meant to say "state her NET income" and not "claim". I second guess myself, so I appreciate the responses. So I'll put her down as a non-resident, but I'll state her world NET income!

Follow the directions. Can't remember if it is net or gross.

 

[LuckEh]

Follow the directions. Can't remember if it is net or gross.

Says net, so I'll go with that!