I am confused if a foreign social security is taxable in the US and if I need to report this on the 1040. Article 18, Paragraph 2 of the US-Italy Tax Treaty states : "Payments made by a Contracting State under provisions of the social security or similar legislation of that State to a resident of the other Contracting State shall be taxable only in the other State." Italy does remove taxes prior to the final distribution. Therefore, are Italian Social Security distributions taxed by the US and reportable on 1040? If so, where is this reported on the 1040?
