DaveF1006
Expert Alumni

Get your taxes done using TurboTax

No.  You would enter this as other income and then report your taxes paid in the Foreign tax Credit to receive credit for the withholding tax paid. Here are the sequence of steps to report.

 

To report the income.

 

  1. Log into your account
  2. Select Wages and income>other income
  3. Miscellaneous Income, 1099-A, 1099>start
  4. Scroll to the bottom of the page to Other Reportable Income
  5. Other taxable income, answer yes
  6. Then give a brief description of the income and the $ amount listed.  Describe it as Canadian Foreign income'

Now to report the tax withholding for the Foreign Tax Credit.

 

  1. Open Turbo Tax
  2. Go to federal>deductions and credits>estimate and other taxes paid
  3. Foreign taxes >start
  4. Start answering questions. Make sure you answer the question correctly about if this is the first year you are making the simplified  election
  5. Answer the questions in the next screens until you reach a screen that talks about income type. indicate this is general category income. 
  6. Next screen is where you add the country your foreign income was earned in. 
  7. Next screen will ask you what your source income earned in that country. Here you will report the pension amount. Don't worry, this is not reported as income in your return but is used to determine the foreign tax credit.
  8. You will continue answering questions until you get to a screen that says foreign taxes paid to XXXX. Be sure not to list a date at the bottom beyond 12/31/2023 or you won't get the foreign tax credit and will show up as an error in your return

 

 

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