Hi
To meet emergency needs I had to close my Canadian locked in RRSP and took the distribution.
Once I enter the total distribution, the taxes owed shoot up to the sky and I am unable to figure out how to include the taxes withheld at Source by Canada in my tax returns to reduce the tax liability. I played around with form 1116 to avoid double taxation but cannot figure it out. Should I deduct taxes paid on schedule A and if so, how?
Here are some details. (All are in US$)
Canadian Registered locked in RRSP
Total distribution: $ 75000
Taxable part of distribution: 56250
Taxes held back
@25% = 18750
Can anyone on the community help me out?
Thank you in advance.
