Newfoundland and Labrador (NL) boasts a unique tax landscape. This FAQ tackles common questions NL taxpayers have to smoothen your tax filing journey.
Are there any tax credits specific to Newfoundland and Labrador?
Absolutely! NL offers several tax credits to reduce your tax burden. These include the Newfoundland and Labrador Direct Equity Tax Credit for investments in eligible shares and the Resort Property Investment Tax Credit for investments in registered resort development properties.
I work remotely for a company outside Newfoundland and Labrador. Do I still pay NL tax?
Generally, yes. As an NL resident, you pay NL tax on all your income, regardless of where you earn it.
I recently moved to Newfoundland and Labrador. When am I considered a resident for tax purposes?
For tax purposes, you’re considered an NL resident after staying 183 days (or more) in a calendar year.
Can I claim travel expenses as a deduction on my NL tax return?
In most cases, no. NL does not allow general travel expense deductions unless they’re specifically related to your employment and meet certain CRA criteria.
I own a business in Newfoundland and Labrador. Are there any tax benefits available?
NL offers various tax benefits for businesses, including the Eligible Newfoundland and Labrador Business Taxpayer program and tax deductions for specific machinery and equipment. Research these on the CRA website or consult a tax professional familiar with NL tax regulations
