Election pursuant to ITA section 216

I wish to make an election pursuant to ITA section 216 regarding rental income earned in Canada by a non resident. How should I proceed?

Once the tax pursuant to ITA Part XIII has been withheld on gross rental income (25%), the non resident taxpayer may elect to file an income tax return in Canada, reporting rental income as if it were his only source of income.

That election is advantageous when the tax calculated on net rental income, on that taxpayer's return, is lower than the tax withheld pursuant to Part XIII. Note that if that election is made, the non resident taxpayer will not be entitled to any deduction in the calculation of his taxable income, nor to any tax credit.

Enter the keyword Non-Resident and choose the option Section 216 election to produce a section 216 return. DT Max will only take into account the entries that can be used on a section 216 return and will enter the information on the T1159.

If the non resident taxpayer has made a commitment to the Ministère to file an income tax return in the six months following the end of the fiscal year (NR6), the tax withheld may be 25% of net rental income rather than gross income. In such a case, the steps described above remain applicable.