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I WITHDREW FROM MY CANADIAN RRSP AND THEY WITHHELD THE TAXES.1 DO I CLAM THIS AND WHERE? AND WHERE DO I ENTER THE TAX WITHHELD?

 
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DianeW
Expert Alumni

I WITHDREW FROM MY CANADIAN RRSP AND THEY WITHHELD THE TAXES.1 DO I CLAM THIS AND WHERE? AND WHERE DO I ENTER THE TAX WITHHELD?

Yes, you claim this. Yes, you will need to enter your RRSP from Canada is USD.

The Internal Revenue Service has no official exchange rate. The IRS will normally accept any posted exchange rate that is used consistently. You can translate the foreign currency to U.S. dollars using the yearly average currency exchange rate for the tax year.  In general, use the exchange rate prevailing (i.e., the spot rate) when you receive, pay or accrue the item. Please refer to the following IRS links for more information about Foreign Currency and Currency Exchange Rates and Yearly Average Currency Exchange Rates

To enter an RRSP

  1. Go to Wages & Income- 2017 Income Summary. 

  2. Scroll down to Retirement Plans and Social Security

  3. Click Start or Update by Canadian Registered Pension Income

  4. Click Yes to At any time during 2017, were you the beneficiary of an RRSP or RRIF? 

  5. Answer the following questions. (click the image attached to enlarge and view)

To enter tax withheld on the RRSP

  1. Type "foreign tax credit" into the TurboTax "Search" box near the top right of your screen 

  2. Next, "Jump to foreign tax credit" from the list of results 

TurboTax will display a series of questions to record your Foreign Tax Credit onto your return 

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