New York Guide for Canadians

Quick Facts

State Income Tax	Progressive 4% to 10.9% (plus NYC tax 3.078-3.876%)
Sales Tax	4% state + local (8.53% average, NYC 8.875%)
Driver's License Grace Period	30 days for residents (90 days = presumptive residency)
Residency Requirement for Tax	183+ days or permanent home in New York
Vehicle Registration Deadline	30 days for residents
REAL ID Deadline	May 7, 2025 for domestic flights
Enhanced Driver's License	Available for US citizens only

First 90 Days Checklist

Week 1-2: Essential Documents & Registration

• Register with USCIS if staying 30+ days (required by April 11, 2025)
• Gather required documents for driver's license
• Open US bank account
• Set up New York mailing address

Week 3-4: Official Registration

• Apply for New York driver's license (within 30 days)
• Complete mandatory 5-hour pre-licensing course
• Register vehicle if brought from Canada (within 30 days)
• Register to vote (if eligible)

Month 2-3: Establishing Residency

• Update address with Canadian financial institutions
• Establish New York ties and connections
• Research healthcare options and insurance
• Note: 90+ days in NY = presumptive evidence of residency

Driver's License & Vehicle Requirements

For Canadian Citizens

Required Documents:

• Original valid Canadian passport (proof of legal presence)
• Proof of Social Security Number (if applicable)
• Two proofs of New York residential address
• Birth certificate or citizenship documents for identity

Testing Requirements:

• Written knowledge test required for Canadian citizens
• 5-hour pre-licensing course mandatory
• Road skills test required - NY does not recognize foreign licenses
• Vision screening required
• Canadian license will be destroyed upon passing road test

Enhanced Driver's License (EDL) Option:

• Available for US citizens only - not Canadians
• Allows land/sea border crossings to Canada
• REAL ID compliant for domestic air travel
• Canadians must use passport for border crossings

Important Notes:

• 30-day limit to get NY license after residency
• 90+ days in NY = presumptive evidence of residency
• REAL ID required by May 7, 2025 for air travel
• Mandatory 5-hour pre-licensing course required
• Canadian license destroyed upon NY license issuance

Vehicle Registration

• Register within 30 days of establishing residency
• Annual safety inspection required
• Emissions testing required in certain areas
• New York insurance required for registration

Tax & Residency Considerations

New York State Tax Structure

• **Progressive income tax** 4% to 10.9% based on income
• **NYC additional tax** 3.078% to 3.876% for city residents
• **Estate tax** on estates over $6.58 million (2025)
• **High property taxes** (1.54% effective rate)
• **Moderate sales tax** 4% state + local (8.53% average)

Establishing New York Tax Residency

New York residency is based on domicile and statutory residence:

• Domiciled in New York (intent to make permanent home)
• Statutory resident: 183+ days in tax year, OR
• Maintaining permanent place of abode in New York

Documentation to Establish Residency

• New York driver's license and voter registration
• Bank accounts and utility bills in New York
• Employment or business activities in New York
• Professional licenses, club memberships
• Property ownership or long-term lease

High Tax Burden Warning

New York has one of the highest overall tax burdens in the US. Combined state and local income taxes can exceed 14% in NYC. Property taxes are also among the highest nationally.

US Federal Tax Implications for Canadians

Important: Under the Substantial Presence Test, you may be considered a U.S. resident for tax purposes.
New Requirement: Canadians staying 30+ days must register with USCIS by April 11, 2025.
Recommendation: Consult a cross-border tax professional.

Healthcare Considerations

Insurance Options

• New York has expanded Medicaid but limited for non-citizens
• Travel insurance strongly recommended
• Consider US health insurance if staying permanently
• World-class medical facilities in NYC, Albany, Rochester, Buffalo

Prescription Medications

• Bring adequate supply from Canada
• Understand prescription transfer requirements
• US prices often higher than Canadian prices
• Research pharmacy options and discount programs

Special Considerations for Snowbirds

New US Registration Requirements (2025)

• Canadians staying 30+ days must register with USCIS
• Registration required by April 11, 2025
• Print and carry latest I-94 as proof of legal entry
• Failure to register may affect future US travel

Maintaining Canadian Ties

• Keep principal residence in Canada
• Monitor days in U.S. for tax reasons (183-day rule)
• Maintain Canadian insurance & banking relationships
• NY domicile-based residency requires careful planning
• 90+ days in NY = presumptive evidence of residency

Property Considerations

• High property values, especially in NYC metro area
• Very high property tax rates (1.54% effective)
• Various local tax exemptions available
• Impact on Canada's principal residence exemption

Climate & Lifestyle Factors

• Four distinct seasons with cold winters
• Urban opportunities in NYC, natural beauty upstate
• High cost of living, especially in metropolitan areas
• Extensive Canadian communities throughout state

Border Proximity Advantages

• Multiple border crossings to Ontario and Quebec
• Enhanced Driver's License not available for Canadians
• NEXUS/Global Entry beneficial for frequent crossings
• Easy access to Canadian healthcare and services

Travel Documentation

• Ensure passport validity (6+ months remaining)
• Consider Global Entry/NEXUS for easier border crossings
• Enhanced Driver's License not available for Canadians
• I-94 registration now required for 30+ day stays

Cost of Living Reality Check

New York has one of the highest costs of living in the US, with very high taxes, housing costs, and general expenses. NYC is particularly expensive. Consider upstate areas for more affordable options while maintaining NY residency benefits.

Key Contacts & Resources