I sold my share of the family cottage in Canada to my sister. Capital gains taxes were withheld by the Canadian Tax Agency. Should I report this sale to thr IRS?
I sold my share of the family cottage in Canada to my sister. Capital gains taxes were withheld by the Canadian Tax Agency. Should I report this sale to thr IRS?
If you are a US citizen or resident alien you need to report your world-wide income no matter where it was received. If that is your situation, then yes you must report it.
If you have paid Canadian tax on this sale, you need to enter that as foreign tax so that you are not taxed twice on the same income.
I sold my share of the family cottage in Canada to my sister. Capital gains taxes were withheld by the Canadian Tax Agency. Should I report this sale to thr IRS?
If you are a US citizen or resident alien you need to report your world-wide income no matter where it was received. If that is your situation, then yes you must report it.
If you have paid Canadian tax on this sale, you need to enter that as foreign tax so that you are not taxed twice on the same income.
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