Non-resident employees who carry out services in Canada

Employers have to deduct income tax from remuneration they pay to non-resident employees who are in regular and continuous employment in Canada in the same way they do for employees who are resident of Canada. This applies whether or not the employer is a resident of Canada.

A tax treaty between Canada and the country of residence of a non-resident employee providing services in Canada may provide relief from Canadian tax deductions.

Application for a waiver of tax withholding

A non-resident employee who wants less tax to be withheld based on a tax treaty can send a letter or a waiver application with supporting documents to the applicable International Waivers Centre of Expertise. To find out which centre the employee should send the application to, go to Where to send completed waiver and non-resident employer certification applications.


You also have to deduct tax from payments you make to non-resident individuals, partnerships, or corporations for services rendered in Canada that they did not carry out in the ordinary course of an office or employment. For more information about payments for services other than in the course of employment, see Guide RC4445, T4A-NR – Payments to Non-Residents for Services Provided in Canada.

In addition, you may have to deduct tax, if you pay or credit an amount, such as interest, a dividend, rental income, a royalty, pension income, a retiring allowance, or other similar types of income to a non-resident of Canada, or if you pay, credit, or provide an amount as a benefit for film or video acting services rendered in Canada. See Guide T4061, NR4 – Non-Resident Tax Withholding, Remitting, and Reporting.

Employment in Canada by certified non-resident employers

There is an exception to the withholding tax obligation for qualifying non-resident employers (who are certified by the CRA and who continue to meet certain conditions) when they pay amounts to non-resident employees for performing the duties of an office or employment in Canada. In other words, a qualifying non-resident employer paying a qualifying non-resident employee working in Canada will not be required to withhold and remit any amount of tax to the CRA. For more information about the certification process or your obligations as a qualifying non-resident employer, go to Non-resident employer certification

To become a qualifying non-resident employer, fill out Form RC473, Application for Non-Resident Employer Certification and send it to the CRA for approval.

Forms and publications

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