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Location: Montreal -> CT -> MA -> Montreal -> Ottawa
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Or if you're asking what the tax exemption means, it means that a person who is not a resident of Quebec (a foreigner) but is working in Quebec, will not get taxed on those contributions.
PS. I really don't understand why a non-Quebecer even has to pay into the QPP. They'll never be able to get the pension afterwards, will they?
Or if you're asking what the tax exemption means, it means that a person who is not a resident of Quebec (a foreigner) but is working in Quebec, will not get taxed on those contributions.
PS. I really don't understand why a non-Quebecer even has to pay into the QPP. They'll never be able to get the pension afterwards, will they?
Yeah. I think you might get it deducted the same as everyone, but then get it back when you file your tax return.
Location: Montreal -> CT -> MA -> Montreal -> Ottawa
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Quote:
Originally Posted by Acajack
Yeah. I think you might get it deducted the same as everyone, but then get it back when you file your tax return.
Ah, that makes sense.
Quote:
Originally Posted by girish
I am a foreigner and been contributing this since day one (2011) and dont think I ever got back anything.
There are forms, I believe, that you should fill out to get what is called a "foreign tax credit." I had to do something similar with the IRS when I worked in the States (before I had my green card and permanent resident status).
No it has nothing to with foreign tax credit. I work and leave here but I did not know that I can opt out from these contributions., can I? in US no matter what one must contribute to social security doesnt matter temp worker or not. in Singapore there was option to not to contribute to CPF if you are foreign worked but once you become resident then it was compulsory.
I thought this is in similar line but I may be wrong or probably I can claim it when I leave the country?
Quote:
Originally Posted by DawnMTL
Ah, that makes sense.
There are forms, I believe, that you should fill out to get what is called a "foreign tax credit." I had to do something similar with the IRS when I worked in the States (before I had my green card and permanent resident status).
Location: Montreal -> CT -> MA -> Montreal -> Ottawa
17,330 posts, read 33,016,638 times
Reputation: 28903
I suggest that you speak to someone in the HR department at the company where you work. They do the payroll and should be able to get to the bottom of this for you.
No it has nothing to with foreign tax credit. I work and leave here but I did not know that I can opt out from these contributions., can I? in US no matter what one must contribute to social security doesnt matter temp worker or not. in Singapore there was option to not to contribute to CPF if you are foreign worked but once you become resident then it was compulsory.
I thought this is in similar line but I may be wrong or probably I can claim it when I leave the country?
Let's start from scratch. Much of the info in this post comes from various pages here.
1) Under some conditions (I am not an expert on those conditions), foreign workers can have a 5-year exemption from paying Quebec income taxes.
2) The French version of the page you linked says that while foreign workers are exempt from paying Quebec income taxes, they are not exempt from paying QPP and QPIP premiums even during the 5-year period. Obviously that also means their (untaxed) salary accrues toward QPP pension, and they also get covered (with some restrictions?) by QPIP i.e. Quebec's parental leave system.
3) Anyone who contributed to QPP for at least 1 year is entitled to a QPP retirement pension. I believe similar rules apply for CPP. At retirement, if you still live in Quebec, you'll get a QPP pension which will take into account the salary/years during which you paid into the Canada Pension Plan (CPP). If you live elsewhere in Canada and have worked elsewhere in Canada (therefore contributing to both QPP and CPP), you'll get a CPP pension. If you now live outside Canada, then you'll get a pension from the plan in which you contributed last. Obviously those numbers might be rather small, but my understanding is that some similar foreign pension plans will consider the salary you made in Quebec when calculating your benefits. I don't know how that part works.
4) You cannot claim anything before you turn 60. Then you can claim it right away or anytime until you are 70: the longer you wait, the higher your monthly QPP pension will be.
Or if you're asking what the tax exemption means, it means that a person who is not a resident of Quebec (a foreigner) but is working in Quebec, will not get taxed on those contributions.
PS. I really don't understand why a non-Quebecer even has to pay into the QPP. They'll never be able to get the pension afterwards, will they?
It's possible for a foreigner to get the pension afterwards. The details are complicated and depend on the details of tax treaties. But, to give one example, my father is an American and has been living in California for almost 40 years. He still gets a small Quebec pension from when he lived and worked in Montreal for a few years.
Basically, the tax treaty between Canada and the U.S. allows for this.
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