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tpesky
Level 2

DEEMED RESIDENT

Hello all..  Please help me with this problem.  I know this business is established in Canada yet deemed resident is still being charged non resident surtax?  They get a T4 are not self employed..

 

When a non-resident or deemed resident files a Canadian tax return, they are taxed at the current federal tax rates, plus a surtax of 48 percent of the federal tax, unless income was earned from a business with a permanent establishment in Canada. In this case, provincial or territorial tax is paid on that income