JCS Posted April 11, 2022 Report Share Posted April 11, 2022 I have foreign( US) investment and pension income that has tax withheld at 30%. The T2209 only allows 15% credit for these withholdings. How do I get credit for the other 15%? Quote Link to comment Share on other sites More sharing options...
Curmudgeon Posted April 11, 2022 Report Share Posted April 11, 2022 It's complicated. Quote When foreign property income (other than from real property, or from a trust) has had withholding tax in excess of 15% deducted, the excess can be deducted from income on line 23200 (line 232 prior to 2019) of the personal tax return, "Other deductions", as a s. 20(11) deduction. However, see the note below regarding the limitation re tax in excess of the treaty rate. The excess foreign tax over 15% deducted under s. 20(11) reduces the amount of foreign non-business income which is used in the foreign tax credit calculation. If your foreign income is reported on a T3, then it is from a trust (such as a mutual fund or ETF), so this deduction does not apply. Personal income tax software will automatically provide the s. 20(11) deduction for income and foreign taxes reported on a T5, and will ignore any excess tax paid on a T3, as it should. https://www.taxtips.ca/filing/foreign-tax-credit-non-business-income.htm Quote Link to comment Share on other sites More sharing options...
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