Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
wcooperiv
Level 1

Foreign Pension Lump-Sum Exchange Rate for IRS Reporting

Received a lump-sum for UK Pension in 2018.  Due to UK tax refund, received lump-sum in two separate transactions.  What exchange rate should I use to show these as income on my 1040?  Can I used the annualized posted rate or do I need to determine exchange rates for actual transactions?  What will IRS accept.

1 Best answer

Accepted Solutions
KittyM
Level 2

Foreign Pension Lump-Sum Exchange Rate for IRS Reporting

If you are unable to determine the exchange rates for the actual transactions, the IRS will accept the annualized posted rate.  The key thing is that you keep the information you used to convert from pounds to dollars for future reference, in case the IRS asks.

View solution in original post

1 Reply
KittyM
Level 2

Foreign Pension Lump-Sum Exchange Rate for IRS Reporting

If you are unable to determine the exchange rates for the actual transactions, the IRS will accept the annualized posted rate.  The key thing is that you keep the information you used to convert from pounds to dollars for future reference, in case the IRS asks.

Privacy Settings
v