Money

NR301 Form: Claiming Tax Treaty Benefits on Canadian Income

3 min read

In this guide
  1. Quick answer
  2. Which form applies to you?
  3. When are these forms not used?
  4. Signing and keeping the form
  5. How does it connect to the NR4?
  6. Common mistakes
  7. FAQ
    1. Is the NR301 filed with the CRA?
    2. Which treaty rate applies to me?
  8. Key takeaways
  9. Related guides
  10. Sources

What is the NR301? The NR301 is a declaration of eligibility for benefits (reduced tax) under a tax treaty for a non-resident person. If you live outside Canada and receive income from a Canadian payer, tax may be withheld at a statutory rate. The NR301 supports a lower treaty rate. It is completed by you, the non-resident payee, and given to the payer.

Quick answer

  • NR301 is for non-resident individuals, corporations and trusts.
  • You complete it and give it to the payer; it confirms beneficial ownership, residency and treaty eligibility.
  • It is not mandatory, but the CRA recommends payers collect it (or equivalent information) before withholding at a treaty rate.
  • If a payee refuses to certify when asked, the CRA says the full statutory rate (stated as 25%) should be withheld.

Which form applies to you?

Form For Completed by
NR301 A non-resident taxpayer such as an individual, corporation or trust The non-resident payee, then given to the payer
NR302 A partnership with non-resident partners The partnership; it must include a statement of Canadian residency for any Canadian resident partners
NR303 A hybrid entity, treated as a corporation or trust for Canadian tax purposes An authorized person for the entity, then given to the payer

When are these forms not used?

  • Part XIII.2 withholding on non-resident investors.
  • Exemptions under Article XXI of the Canada-U.S. treaty, which require a CRA letter of exemption.
  • Government entities claiming sovereign immunity.
  • Royalties attributable to a Canadian permanent establishment, which need a CRA letter.

NR302 cannot support a reduced rate on rental income if the non-resident makes a section 216 election or if there are Canadian resident partners.

Signing and keeping the form

The forms should be signed. The CRA says scanned or faxed copies are acceptable, and electronic signatures are acceptable if they represent the person’s original signature. Keep them for six years from the end of the last tax year they relate to. The CRA’s draft text also says the declaration expires on the earlier of a change in treaty eligibility or in the effective withholding rate, or three years from the signing date.

How does it connect to the NR4?

After the payment, the payer reports it on an NR4 slip. A correct NR301 on file helps make sure the tax withheld matches the treaty rate you are entitled to. If you pay tax in your country of residence, see how treaties work in our US tax treaty guide as an example of how the idea works.

Common mistakes

  • Not providing the form and being withheld at the full rate.
  • Using the NR301 for a partnership or hybrid entity.
  • Forgetting to sign it.
  • Not keeping a copy for six years.

FAQ

Is the NR301 filed with the CRA?

The CRA describes it as completed by the payee and given to the payer. It does not describe you filing it with the CRA.

Which treaty rate applies to me?

This guide gives no treaty rates. Check the treaty between Canada and your country.

Key takeaways

  • NR301 is for you to give to the payer, to support a treaty rate.
  • Refusing to certify can mean 25% withholding.
  • Keep the signed form six years.

Last updated: October 2026. This guide is general information, not tax advice. Check the CRA before you act.

Sources

  • Canada Revenue Agency: More information on forms NR301, NR302 and NR303

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