Hi
a) My wife received a letter for the written test from Canada Immigration and Citizenship in Dec 05, as she had met all conditions for becoming a Canadian Citizen.
--> Living in the USA, you should make every effort to sit for the citizenship exam.
b) We have taken time and informed them that we need a longer notice in terms of days as we are living in a different country (rescheduling of written test date). They had given us a couple of days notice.
--> Although your wife has applied for her citizenship, please note that she is still a Canadian PR, This means that the PR laws apply to her - and she can only remain outside of Canada for a maximum of 3 years in every 5 year period. She must also demonstrate ties to Canada is she is to keep her PR status.
c) Her I-94 (US visa valid till 08/2008) is issued under Indian Passport, and therefore, could she have issues if she travels to Canada now (I-485 not yet applied for due to retrogession. I have applied for I-140 under EB-1)
--> Canada need not know her status in the USA. All she needs to present at the point-of-entry is her valid PR card (Maple Leaf card). This is the only document she needs to re-enter Canada.
d) If she does not appear for the next written test and let us say does not travel to Canada in the near future (say 3 years) would she lose her right to become a Canadian Citizen ? In other words, can she go to Canada at any point on time and request for Canadian Citizenship, after having lived in the USA for say 3 years, continuously, without visiting Canada at all during those 3 years ?
--> She will loose her eligibility to apply for citizenship. The law clearly states that a Canadian PR must have accumulated 1095 days of physical presence - that's 3 years - in 4 years preceeding the citizenship application. If your wife is going to stay out for 3 years, she will have to go back and live in Canada another 3 years (1 year outside + 3 years inside - 4 years) to be eligible to apply for citizenship the second time. My advice to you would be to go ahead and complete the application regardless of inconveniece or cost.