Residential Ties Considered in Determining Residence Status
The term "residence" is not defined in Québec's Taxation Act; however, its meaning has been studied at length by the courts over the years. The courts consider residence to be a series of facts that must be examined collectively.
For example, the residence of an individual for tax purposes concerns neither the individual's citizenship nor the individual's home. Residence is always a question of fact. It goes beyond an individual's physical presence in a place. The individual needs to have enduring ties with the place, without necessarily being there physically.
Residential ties with Québec is the most important factor we consider when determining whether you are a Québec resident for tax purposes. If you have left Québec and Canada, we look at whether you have maintained residential ties with Québec during your absence. Generally, when you leave Québec and Canada, you continue to be resident in Québec unless you sever all significant residential ties with the province on leaving.
Residential ties can be broken down into significant residential ties, secondary residential ties and other residential ties.
Significant residential ties
Significant residential ties you can have with Québec are your:
- dwelling place or places;
- spouse; and
Secondary residential ties
We may also consider secondary residential ties you have with Québec in determining your residence status for tax purposes. Secondary residential ties you can have are:
- personal property in Québec (such as furniture, clothing, automobiles and recreational vehicles);
- social ties with Québec (such as membership in a recreational or religious organization);
- economic ties with Québec (such as employment with a Québec employer, active involvement in a Québec business, or a Canadian bank account, retirement savings plan, credit card or securities account);
- permanent resident status or an appropriate work permit in Canada or Québec;
- provincial hospitalization and medical insurance coverage;
- a driver's licence from a province or territory of Canada;
- a vehicle registered in a province or territory of Canada;
- seasonal dwelling place in Québec or a leased dwelling place, as referred to above;
- a Canadian passport; and
- membership in a Canadian union or professional organization.
Generally, secondary residential ties must be looked at collectively in order to assess the significance of each of them. It would be unusual for us to consider a single secondary tie with Québec to be significant enough, in and of itself, to conclude that you are a Québec resident for tax purposes.
Other residential ties
Other residential ties that we may consider include the retention of a mailing address, post office box or safety deposit box in Québec or Canada, letterhead or business cards with a Québec address or telephone number, and local newspaper or magazine subscriptions.
Such residential ties are generally of limited importance unless taken with other residential ties.
For more information, see the latest version of interpretation bulletin IMP. 22-3, Determining the residence of an individual who has left Québec and Canada, which is available on the Publications du Québec website.