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.

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This is the probably the answer to your question.

 

[talker]

Sols said:
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.
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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]

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

Drzou said:
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?
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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.

Toggle signature
This is the probably the answer to your question.

 

[talker]

Sols said:
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.
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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]

Mike Williams said:
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.
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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]

Mike Williams said:
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.
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You are right
Starting from 15 % to 33%
Not Worth it for business owners
Only for workers maybe