Living outside of Canada - Survivors and dependants - Pension

You may want to know…

• What do you do if you live or move outside of Canada?

  Contact the Government of Canada Pension Centre without delay to:

  • provide your new address;
  • find out whether your move will impact your survivor benefit or your income tax.
• Can you receive your survivor benefit cheque at an address outside of Canada?

  Yes. The cheque will then be issued in the currency of the country where you live.

• Can the direct deposit of your survivor benefit be sent to a bank outside of Canada?

  Yes. If you live in one of the countries accepting foreign direct deposits, your survivor benefit can be deposited directly into your account. The deposit is made in the currency of the country in which you live.

  Go to Direct Deposit to view the list of countries accepting foreign direct deposit and to download the enrolment form.

• Is your survivor benefit paid in Canadian dollars or foreign currency?

  If your survivor benefit is deposited directly in your bank account in Canada, it is paid in Canadian dollars. If it is deposited in an account with a bank abroad or if you receive it by cheque, the amount in Canadian dollars is converted into the currency of the country where you live.

• Is your survivor benefit indexed according to the increase in the cost of living in the country where you live?

  No. Your survivor benefit is indexed according to the cost of living in Canada.

• Do you have to pay income tax on the survivor benefit that you receive abroad?

  Yes. Tax is usually withheld at source unless you have obtained a tax exemption.

• How is the amount of income tax to be withheld from your survivor benefit determined if you live outside of Canada?

  The amount of income tax to be withheld from your survivor benefit is determined by your country of residence, in accordance with the Canada Revenue Agency's (CRA) directives on income tax and non-residents. We recommend visiting and using the "non-resident tax calculator".

• Do you have to file a tax return in Canada for your survivor benefit received abroad?

  You may have to file a Canadian tax return even if you no longer live in Canada. For further details on the tax rules applicable to non-residents, please consult the Canada Revenue Agency's guide entitled Non-Residents and Income Tax.

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

  The Government of Canada 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 the Canada Revenue Agency. Please contact the Canada Revenue Agency's International Tax Services Office if you would like to obtain an exemption or reduction.

• What type of tax slip will you receive for your survivor benefit if you live outside of the country?

  As a non-resident, you will receive an NR4 slip indicating your survivor benefit income.

  If part of your survivor benefit income is paid under the terms of the Retirement Compensation Arrangements (RCA) you will also receive an NR4-RCA slip.

  However, the total amount of income tax withheld from all pension benefits under the public service pension plan and the RCA will be reported only on the NR4 slip.

  If you move abroad after the beginning of the year, you will receive both a T4A and an NR4 slip for that year.