Part XIII
Part XIII Withholding Tax on Non-Resident Income
⚠️ Important Disclaimer
This content is for informational purposes only and does not constitute legal, tax, accounting, or financial advice. Tax laws change frequently — always verify with the CRA and IRS or consult a qualified cross-border tax accountant before making decisions.
BorderBird is a rental-management and record-keeping tool. It is not an accountant and does not provide accounting, tax, or legal advice.
15th of the month following each payment (monthly remittance)
Payers (tenants, property managers) making rental payments to non-resident landlords
What is Part XIII?
Part XIII of the Income Tax Act imposes a 25% withholding tax on certain payments to non-residents, including rental income from Canadian property. No tax treaty reduces this rate on rental income from real property. The alternatives are withholding on net rather than gross income with CRA pre-approval (Form NR6), or filing a Canadian return under a section 216 election.
Who Needs to File Part XIII?
Payers (tenants, property managers) making rental payments to non-resident landlords
Filing Deadline
15th of the month following each payment (monthly remittance)
Simplify your cross-border tax prep
BorderBird automatically tracks your rental income, converts currencies using the Bank of Canada annual averages the CRA says to use, and exports CRA-ready and IRS-ready reports your accountant can use to file Part XIII with confidence.
Try BorderBird Free →