Cdn military pers no longer have to pay income tax when deployed on international ops

Murphy

Executive Branch Member
Apr 12, 2013
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Good news for the military. When you're away from Canada, sometimes for years, they still collected income tax from you. The Ontario rate was levied. This change was long overdue.

Canadian military personnel no longer have to pay income tax when deployed on international operations

David Pugliese, Ottawa Citizen

Chief of the Defence Staff Gen. Jon Vance has outlined changes that have been brought in for income tax and the Canadian Forces. What this means in practical terms, he pointed out, is that soon military personnel will no longer have to pay income tax while deployed on named international operations.

Here are more details from the message Vance sent to military personnel:

Here’s how it will work: CAF members who deployed outside of Canada on a named international operational mission since 1 January 2017 are eligible for income tax relief. This means they will be refunded the income tax they paid during the period of their deployment via their 2017 income tax submission to CRA. For those deploying after 1 January 2018, the military pay system will automatically calculate the income tax to be withheld (if any).

Importantly, this new measure de-links tax relief from risk levels, and raises the eligible deduction from income up to and including the maximum pay incentive level of Lieutenant Colonel (General Specification Officers – GSO). For those on missions in 2017 already eligible for tax relief, this change in pay incentive levels will also be captured through your 2017 tax return.

Commander MILPERSCOM will soon be issuing a CANFORGEN to provide further technical details, and in the coming days, your respective chains of command will communicate more information on how these tax relief measures apply specifically to you.

The rest here:

Canadian military personnel no longer have to pay income tax when deployed on international operations | Ottawa Citizen
 
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tay

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May 20, 2012
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I had no idea they paid Income Tax while deployed. Shame on governments who allowed this to happen......
 

Retired_Can_Soldier

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Mar 19, 2006
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They also pay into EI which they cannot claim until they've burned through any money they've accumulated while serving. For instance, a soldier who has been injured and is released medically gets severance based on years of service. Most soldiers opt to invest this severance into retirement savings rather than take a major hit on taxes. If that soldier gets out, they are disqualified until said severance is spent. And if your wondering, "Hey, don't they get a medical pension?" The answer is, no, the government now cuts them a check based on severity of their injury and cuts them loose. This was what Trudeau promised to fix in the pension act, but then reneged on.
 
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tay

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May 20, 2012
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Yes. After the sh*tstorm we saw with Fantino, Trudeau is just as bad.........
 

Curious Cdn

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Feb 22, 2015
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They also pay into EI which they cannot claim until they've burned through any money they've accumulated while serving. For instance, a soldier who has been injured and is released medically gets severance based on years of service. Most soldiers opt to invest this severance into retirement savings rather than take a major hit on taxes. If that soldier gets out, they are disqualified until said severance is spent. And if your wondering, "Hey, don't they get a medical pension?" The answer is, no, the government now cuts them a check based on severity of their injury and cuts them loose. This was what Trudeau promised to fix in the pension act, but then reneged on.

You've got to wonder if the Grand Plan isn't to phase out Veteran's Affairs completely, once the last of the WWII Vets is dead and buried. After that, there is no further liability owed to Vets beyond their civil service pensions.
 

Murphy

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He's using the word 'now' as a sentence adverb. These are usually separated by a comma. He's expressing an opinion. The usage is correct.
 

Hoid

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Oct 15, 2017
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They also pay into EI which they cannot claim until they've burned through any money they've accumulated while serving. .

Now.

You used to be able to retire with your severance and pension and collect pogey for 50 weeks. I think they changed that in the 80s
 

Retired_Can_Soldier

The End of the Dog is Coming!
Mar 19, 2006
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Now.

You used to be able to retire with your severance and pension and collect pogey for 50 weeks. I think they changed that in the 80s

I never collected a dime when I was medically released. Burned through my severance to keep my family afloat and got hit with a major tax bill a year later by my pals at the Revenue Canada. When I couldn't pay it right off, they audited me and tacked another grand on.

Then the harassment started where they demanded pay stubs when I got into trucking.

It took me two years to get their boot of my neck.

In retrospect, I should have just gone to the mob for money to pay them off.
 

gopher

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Jun 26, 2005
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I had no idea they paid Income Tax while deployed. Shame on governments who allowed this to happen......


Agree 100%.

The USA Tax Code allows people who make corporate dollars to enjoy an exemption from paying taxes if they work overseas for at least one year (foreign income exclusion). There are special provisions for military and foreign service employees, including certain housing exemptions.

Canada should have the same as this serves as a good financial incentive.