Search found 2 matches

by twoboats
Sun Apr 06, 2025 8:04 pm
Forum: Canada / United States Tax & Accounting
Topic: Form 1116 only allows fraction of canadian taxes as credit?
Replies: 4
Views: 3481

Re: Form 1116 only allows fraction of canadian taxes as credit?

It doesn't make sense because the US Treaty did not let me credit even to the extent that I could remove the US Taxation part on the Canadian income. Lets assume: Total US Tax on the USD 80K is 16K Total US Tax when we add CAD80K to our income is 36K (additional 20K tax) We already paid a higher 30K...
by twoboats
Sat Apr 05, 2025 1:57 pm
Forum: Canada / United States Tax & Accounting
Topic: Form 1116 only allows fraction of canadian taxes as credit?
Replies: 4
Views: 3481

Form 1116 only allows fraction of canadian taxes as credit?

1. Spouse A: Citizen of USA, Resident of USA, W2 income in USA e.g. USD 80K 2. Spouse B: Citizen of Canada, Resident of USA, has no US income, visits Canada part of the year and has consulting income from Canadian Source e.g. CAD 80K So far this is what we have found, please correct any mistakes: 1....