Non Resident Tax in RRSP

cnytax · Post by **cnytax** » Tue Apr 21, 2015 2:30 pm

My wife and I moved to the US from Canada several years ago but elected to keep our RRSP's in Canada with TD Waterhouse.

Yesterday I noticed that I had received a dividend payment from a US corporation in the RRSP but that a non-resident withholding tax of 20% had been withheld. This is the first time I have ever had non-resident witholding tax taken from an RRSP.

Has anybody ever seen this before?

nelsona · Post by **nelsona** » Tue Apr 21, 2015 2:44 pm

The RRSP is not supposed to do this, nor tax supposed to be 20%, so something is fishy.
Contact the RRSP manager and ask.
Worse cmes to worse you can include it in your 1040 as tax paid, and shoul;d get a 1066 to that effect, but the correct solution is for the RRSP NOT to withhold this tax.

there are some old threads on this.

nelsona · Post by **nelsona** » Tue Apr 21, 2015 2:49 pm

Try this one for example:
http://forums.serbinski.com/viewtopic.p ... w=previous

nelsona · Post by **nelsona** » Tue Apr 21, 2015 2:49 pm

You must be sure that TD has a W-9 on file for you.

cnytax · Post by **cnytax** » Tue Apr 21, 2015 11:46 pm

Ok, thx.

I've been in the US for 8 years now and have always had US dividend stocks in my RRSP and have never had this problem before.

I called up TD to inquire and got an incoherant answer.

I'll verify the W-9.