Moving from Dubai to Canada

[talker]

Hey guys!
I've made the difficult choice to live in Canada for next 3 years to get the passport.
I'm in ecommerce and I was incorporated in Dubai.
For simpler taxes, I've decided to close the Dubai company and incorporate in Canada!
Is this a good decision? What would you have done in my shoes?
Thanks

 

[Sols]

Yes, you are making the right decision.

The Dubai company is only worth keeping if it has a genuine and primary place of business in UAE (or elsewhere outside of Canada) and your involvement is purely that of a passive shareholder.

 

[talker]

Yes, you are making the right decision.

The Dubai company is only worth keeping if it has a genuine and primary place of business in UAE (or elsewhere outside of Canada) and your involvement is purely that of a passive shareholder.

Thanks for your fast feedback Sols!

I mainly dropship to the USA! So is a US company better than a Canadian?

I was thinking of getting professional tax advice, but not sure where I can find some tax professionals that are familiar to dropshipping and canadian tax law?

 

[Sols]

I mainly dropship to the USA! So is a US company better than a Canadian?

You introduce complications if you form a US company that you don't have if you operate just as a Canadian company. So long as you can charge your customers in USD, get a bank account in USD, and only convert to CAD what and as needed, I'd stick with a Canadian company.

Consider US company if you run into sales tax problems or import tariffs that operating through a local company would solve.

I was thinking of getting professional tax advice, but not sure where I can find some tax professionals that are familiar to dropshipping and canadian tax law?

Dropshippers are a dime a dozen these days. Shouldn't be too hard to find someone who's had some experience with it. Check Legal500 for good lawyers in corporate matters in your province/territory.

 

[talker]

You introduce complications if you form a US company that you don't have if you operate just as a Canadian company. So long as you can charge your customers in USD, get a bank account in USD, and only convert to CAD what and as needed, I'd stick with a Canadian company.

Consider US company if you run into sales tax problems or import tariffs that operating through a local company would solve.


Dropshippers are a dime a dozen these days. Shouldn't be too hard to find someone who's had some experience with it. Check Legal500 for good lawyers in corporate matters in your province/territory.

Thanks Bro

 

[Mike Williams]

Why move from a low tax country to a high tax country? also the weather is not good in Canada and the cost of real estate or renting is very high. It certainly isn't the promised land.

 

[uranium]

Why move from a low tax country to a high tax country? also the weather is not good in Canada and the cost of real estate or renting is very high. It certainly isn't the promised land.

In dubai he will live with a visa as long as possible. No permanent residency or citizenship.
In Canada he can gain citizenship after living there for a couple a years.
But Canada comes with 15% tax rate.

 

[Mike Williams]

15% in Canadá? The small business tax rate? and another 35% - 53% in income tax and then sales taxes, gas taxes, carbon taxes, clean energy taxes, cpp contributions, property taxes. Canada is a very complicated and expensive place for taxes, like France etc. And to leave you need to pay capital gains on all unrealized gains.

 

[uranium]

15% in Canadá? The small business tax rate? and another 35% - 53% in income tax and then sales taxes, gas taxes, carbon taxes, clean energy taxes, cpp contributions, property taxes. Canada is a very complicated and expensive place for taxes, like France etc. And to leave you need to pay capital gains on all unrealized gains.

You are right
Starting from 15 % to 33%
Not Worth it for business owners
Only for workers maybe