Cashing in Canadian RRSP/LIRA for U.S. Resident

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lulu2
Posts: 2
Joined: Wed Apr 15, 2015 11:35 am

Cashing in Canadian RRSP/LIRA for U.S. Resident

Post by lulu2 »

Live and work in the U.S. on a (TN) visa. I have cashed in my [b]"Lira"[/b] Retirement fund (lump sum) in Canada (able to do so due to deemed a Non-Resident of Canada by CRA) and 25% Tax was automatically withheld/paid to (CRA).
Totally confused about was the next step is as far as declaring it in U.S.?, whether I can get part of that 25% tax paid back from Canada (Elect to file under Section 217 CRA)? or whether I can use this tax paid to Canada-CRA on my 1040 in the U.S.? (Tax Treaty Canada-U.S.)
Any help greatly appreciated...[/b]
lulu2
Posts: 2
Joined: Wed Apr 15, 2015 11:35 am

Re: Cashing in Canadian RRSP/LIRA for U.S. Resident

Post by lulu2 »

Live and work in the U.S. on a (TN) visa. I have cashed in my "Lira" Retirement fund (lump sum) in Canada (able to do so due to deemed a Non-Resident of Canada by CRA) and 25% Tax was automatically withheld/paid to (CRA).
Totally confused about was the next step is as far as declaring it in U.S.?, whether I can get part of that 25% tax paid back from Canada (Elect to file under Section 217 CRA)? or whether I can use this tax paid to Canada-CRA on my 1040 in the U.S.? (Tax Treaty Canada-U.S.)
Any help greatly appreciated...
nelsona
Posts: 18314
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

whether you sue 217 or not is upto you, but if you work in US and the amount is much more than 10K you are not going to get a lower arte.

the LIRA is 100$ taxable in US, so you need to add this to your income and use the 25% tax as a credit on form 1116.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
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