Living outside of Canada – Retired members – Pension

You may want to know…

• Can you receive your pension cheque at an address outside of Canada?

  Yes. Payments are made in the currency of your country of residence. However, if you choose to have your pension cheque by direct deposit to a bank in Canada, it will be issued in Canadian currency.

• Can the direct deposit of your pension cheque be sent to a bank outside of Canada?

  Yes. If you are living in Australia, Europe, New Zealand, United Kingdom, United States or Switzerland, your pension cheque can be sent by direct deposit. Visit Individuals Living Abroad to obtain the required direct deposit enrolment forms.

• How is your pension income reported for income tax purposes now that you live outside the country?

  Your pension income as a non-resident is reported on an NR4 tax statement. If a portion of your pension income is paid under the Retirement Compensation Arrangement (RCA), you will also receive an NR4-RCA income tax statement. Please note, however, that the amount of total income tax paid on all pension benefits (from both the Public Service Superannuation Act and RCA) will be reported only on the NR4 statement.

  If you move to another country part way through the year, your income would be reported on both a T4A and a NR4.

• How is the amount deducted for income tax determined now that you are living outside of Canada?

  The amount deducted for income tax is determined by your country of residence in accordance with the Canada Revenue Agency (CRA) non-resident tax guidelines.

• Can you get a tax exemption or reduction in the amount of non-resident tax that is withheld from your pension?

  The Pension Centre is required to withhold tax according to your country of residence. Any exemption or reduction in the amount of tax to be withheld must be authorized in writing by Canada Revenue Agency (CRA). Please contact the International Tax Services Office if you wish to pursue an exemption or reduction.