Working in Multiple Provinces: Filing Taxes After You Move – A Complete Guide by a Montreal CPA Firm Near You

Filing taxes after moving provinces in Canada is one of the most confusing areas of

personal tax compliance. Many Canadians assume that they file taxes based on where

they worked the most, where they earned the most income, or where their employer is

located. This is incorrect. CRA determines your tax province based entirely on where

you lived on December 31, regardless of where you worked during the year. Moving

between provinces—even temporarily—can change your tax rates, eligibility for

provincial credits, health contributions, and refund amounts. Incorrect residency

reporting can trigger reassessments, delays in benefits, or interest charges.

Understanding how to file taxes after moving provinces in Canada is crucial for workers,

students, families, remote employees, and individuals with multiple residences.

Legal and Regulatory Framework

CRA’s rules for interprovincial tax filing are defined through section 2 of the Income Tax

Act and provincial tax regulations. The determining rule is simple: your province of

residence on December 31 is your tax province for the entire year, even if you lived

in more than one province during that year. Residency is based on significant residential

ties—such as where you maintain a home, where your spouse or dependants live,

where you keep personal belongings, and where you receive mail. Temporary work in

another province does not automatically change residency. Québec operates under its

own tax system, requiring separate filings with Revenu Québec for residents living in

Québec on December 31. Provincial tax credits, health care premiums, tuition rules,

rental credits, and refundable benefits vary significantly between provinces. These rules

form the legal foundation for filing taxes after moving provinces in Canada.

Key Court Decisions

Several court rulings clarify residency and provincial tax obligations. In Thomson v.

Canada, the Supreme Court established that “residency” means the place where a

taxpayer regularly and normally lives, not necessarily where income is earned. In

Vézina v. Canada, the court ruled that working temporarily in another province did not

change tax residency because the taxpayer maintained stronger ties to their home

province. In Reeder v. The Queen, the Tax Court confirmed that taxpayers cannot

choose their tax province; it must reflect residential ties on December 31. In Gibbons v.

Canada, CRA successfully reassessed a taxpayer who filed as a resident of Alberta

despite living in Ontario on December 31. These cases reinforce that filing taxes after

moving provinces in Canada requires accurate evaluation of residential ties.

Why CRA Targets This Issue

CRA focuses heavily on provincial residency issues because taxpayers often try to take

advantage of lower-tax provinces—such as Alberta—while actually living elsewhere.

CRA cross-references employment records, utility bills, medical card registrations,

school enrollment, and driver’s licence data to verify provincial residency. CRA also

reviews cases where taxpayers move to Québec late in the year and fail to file with

Revenu Québec. Other triggers include: reporting income in one province while claiming

benefits in another, inconsistent addresses on slips, and sudden year-end moves that

appear strategic. Because provincial tax rates differ dramatically, CRA ensures

taxpayers correctly file taxes after moving provinces in Canada.

Mackisen Strategy

At Mackisen CPA Montreal, we help individuals working in multiple provinces determine

their correct tax residency and file compliant returns. Our process begins with a detailed

review of residential ties, work locations, rental agreements, travel records, marital

status, and where personal belongings are kept. We determine the correct province of

residency based on CRA criteria, not assumptions. For Québec residents, we prepare

both federal and Revenu Québec filings. For clients who moved mid-year, we analyze

provincial credits, health contributions, tuition rules, and unique provincial deductions to

maximize refunds. When clients worked across provinces—such as in construction,

trucking, consulting, or remote work—we ensure all slips are reported correctly

regardless of province. If CRA challenges the residency claim, we prepare a legal

residency package with documentation to support the correct province. Our approach

ensures taxpayers avoid reassessments when filing taxes after moving provinces in

Canada.

Real Client Experience

A client worked in Alberta for eight months but returned to Québec in November. They

filed as an Alberta resident to benefit from lower tax rates. CRA reassessed them,

arguing that their spouse and home were in Québec on December 31. We corrected the

filing, avoided penalties, and clarified future obligations. Another client moved from

Ontario to British Columbia mid-year but kept Ontario ties. We analyzed their residential

history, filed as an Ontario resident, and explained the tie-breaker rules to CRA. In a

third case, a student moved to Québec in September for university and lived in

residence. CRA challenged whether the move constituted residency. We established

strong Québec residential ties—lease agreement, driver’s licence update, medical

card—allowing the student to file correctly. These examples highlight the importance of

proper evaluation when filing taxes after moving provinces in Canada.

Common Questions

Many taxpayers ask whether earning income in Alberta but living in Québec means they

file as an Alberta resident. It does not. Filing depends on December 31 residency.

Others ask whether temporary jobs change residency. They generally do not unless

residential ties shift. Some ask whether they must file both in their old and new

province. Only Québec has a separate return; all other provinces use the federal return

with provincial schedules. Taxpayers also ask whether moving on December 30

changes residency. Yes—your December 31 location determines everything. These

questions illustrate why understanding interprovincial residency rules is essential.

Why Mackisen

With more than 35 years of combined CPA experience, Mackisen CPA Montreal helps

Canadians stay compliant while minimizing tax liability when working across provinces.

Whether you moved for work, school, family, or temporary assignments, our expert team

ensures precision, transparency, and protection from audit risk.