topic Re: Death Benefit from Canada's CPP and OAS in Retirement tax questions

How do I report as income a Death Benefit I received from Canada from my deceased husband's Canadian Pension Plan Benefits?

dodiepres — Wed, 05 Jun 2019 04:40:57 GMT

This would be reported as Other Income. To enter this be...

KittyM — Wed, 05 Jun 2019 04:41:00 GMT

This would be reported as Other Income. To enter this benefit on your return, follow the instructions below:

Choose the Federal return and the Wages & Income tab.
Scroll down to Less Common Income and Show more.
Choose Miscellaneous Income, 1099-A, 1099-C.
Choose Other Reportable Income and say Yes.
The next screen says "Do not enter income reported on Form 1099-MISC". This is where you will enter the description "Foreign Death Benefit" the amount you received, and who received it, if necessary.

My condolences on the loss of your spouse.

Re: Death Benefit from Canada's CPP and OAS

Mopsey — Sat, 29 Jun 2019 22:53:18 GMT

I got your answer re CPP. Thank you very much. Will it be taxable once I follow your nice clear instructions?

and

I also got a separate T4 for a Survivor Benefit. Same procedure?

Re: How do I report as income a Death Benefit I received from Canada from my deceased husband's Canadian Pension Plan Benefits?

ChinShien — Sat, 18 Feb 2023 20:55:17 GMT

Thank you for your clear instructions. Since the amount listed on my NR4 is in Canadian dollars, do I need to convert it to US dollars before inputting it? Or should I just enter the amount listed? Much appreciated.

Re: How do I report as income a Death Benefit I received from Canada from my deceased husband's C...

JosephS1 — Sun, 19 Feb 2023 16:45:08 GMT

You should convert into US dollars as the current exchange rate is 1 Canadian dollar = .74 American dollars to avoid paying tax on non-existent money. If you received 1,000 Canadian dollars you would list this under other income as $774 for the exchange rate difference. Exchange rate is as of today.

xe.com currency converter

@ChinShien

Re: How do I report as income a Death Benefit I received from Canada from my deceased husband's C...

ChinShien — Fri, 24 Feb 2023 01:08:13 GMT

Thank you for your prompt response. Much appreciated!

@JosephS1