I closed a CDN RRSP, that is, taken a distribution. The bank withheld 25% CDN tax payments since I am not a CDN resident. Three questions.
First, what do I report in total and taxable distribution? In previous Q&As of this Community RobertB4444 and DawnC (https://ttlc.intuit.com/community/taxes/discussion/rrsp-withdrawal-reporting-in-tt/00/3141767) say total and taxable distribution are the same. But LindaS5247 (https://ttlc.intuit.com/community/retirement/discussion/how-do-i-determine-the-taxable-part-of-a-can...) says taxable is after deduction of CDN tax withholdings. Which is it?
Second, I guess the distribution and taxes paid are entered in USD? Do I have to use the IRS exchange rate closest to the time of distribution, or the average exchange rate during the year? Do I have to enter the exchange rate I am using somewhere?
Third, I am supposed to enter the foreign tax paid in a 1066 form. How do I navigate to that form in the desktop version of Turbotax? When I start from Foreign Taxes in 'Deductions & Credits' the software asks for 1099 forms, which I don't have since my documents were issued by CDN institutions, so NR4 forms.
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Assuming you are filing a US tax return:
Regarding the 1066 form, what type of transaction was this and how did you report the income? The purpose of the foreign tax credit is to prevent double-taxation for the same income.
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