How are pensions taxed under the Canada-India tax treaty?
Under the Canada-India tax treaty, private pensions are generally taxable only in the country of residence — meaning no withholding tax applies at source (0%). This is favorable for retirees who have moved between the two countries, as their pension income will not be subject to double taxation. Government pensions may have different rules under a separate treaty article. This 0% rate compares to a median of 0% across Canada's 51 active treaty partners, and 0% across India's 48 active partners.
Network Comparison
Canada
Rank 26 of 51 active treaties (lowest rate = #1)
Lower rates with: Indonesia (0%), Ireland (0%), Israel (0%)
Higher rates with: Italy (0%), Japan (0%), South Korea (0%)
India
Rank 6 of 48 active treaties (lowest rate = #1)
Lower rates with: Australia (0%), Belgium (0%), Brazil (0%)
Higher rates with: Switzerland (0%), China (0%), Colombia (0%)