To, receive a credit for the Foreign Taxes paid, you need to apply for a foreign tax credit.
- Go to Federal
- Deductions and credits
- Estimate and other taxes paid
- Foreign Tax Credit>start or revisit
- As you go through the screens, when it asks "Tell Us About Your Foreign Taxes" select none of these apply.
- When it asks if you wish to take the deduction and credit, take the credit.
- Continue through until you reach a screen that says "No other income or expenses" Say no
- Continue through until it asks the income type, say Passive Income
- Next add a country pick Canada
- Other Gross Income say Canada Pension RRSP and the gross amount of the RMD amount
- Continue through the interview until it asks for the foreign taxes you paid, here record the amount.
- Now you are done reporting the foreign taxes. Just keep going through the section without making any more entries. You will have finished reporting your gross income from the sale and the foreign taxes paid.
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