Search found 140 matches

by worryfreeinvestor
Fri May 31, 2019 7:52 pm
Forum: Canada / United States Tax & Accounting
Topic: US tax for RRSP RIF distribution Taxable and Foreign tax Credit
Replies: 26
Views: 1291

Re: US tax for RRSP RIF distribution Taxable and Foreign tax Credit

nelsona wrote: > Each year you take out money, you need to determine the taxable ratio based > on (a) the non-taxable amount in your RRSP/RRIF and the total amount you > have. > > The non-taxable portion when you first begin withdrawing is the $200 you > had when you arrived. The taxable portion is ...
by worryfreeinvestor
Mon Apr 15, 2019 10:24 am
Forum: Canada / United States Tax & Accounting
Topic: US tax for RRSP RIF distribution Taxable and Foreign tax Credit
Replies: 26
Views: 1291

Re: US tax for RRSP RIF distribution Taxable and Foreign tax Credit

Tax season never ends! Thank you. I have figured out the taxable vs. non-taxable. It is indeed very easy thanks to your help. Where I am coming from is we migrated to U.S. in 2005, and filed 8891 through 2014. Then 8891 became obsolete. 2018 is the first year we withdrew a distribution from RRIF. So...
by worryfreeinvestor
Fri Apr 12, 2019 3:36 pm
Forum: Canada / United States Tax & Accounting
Topic: US tax for RRSP RIF distribution Taxable and Foreign tax Credit
Replies: 26
Views: 1291

Re: US tax for RRSP RIF distribution Taxable and Foreign tax Credit

There appears to be no place on the 1040 line 4(a) or 1116 to describe in the return that the income and accompanying tax credit (for tax withheld at source by Canadian payer) are associated with a RRIF. And because there is no more 8891, there is no way to explain on the return where the income is ...
by worryfreeinvestor
Fri Apr 12, 2019 3:11 pm
Forum: Canada / United States Tax & Accounting
Topic: Reporting RRIF income on 2018 1040
Replies: 4
Views: 222

Re: Reporting RRIF income on 2018 1040

I even forgot the 8891 is obsolete!
by worryfreeinvestor
Wed Apr 10, 2019 10:25 am
Forum: Canada / United States Tax & Accounting
Topic: US tax for RRSP RIF distribution Taxable and Foreign tax Credit
Replies: 26
Views: 1291

Re: US tax for RRSP RIF distribution Taxable and Foreign tax Credit

Thank you. I was thinking about the one for which you indicated the amount of the tax credit would automatically adjust per the taxable/non-taxable ratio. It looks like that is 1116, right? I really feel a double whammy this year because it is the first year for a RRIF distribution since I migrated ...
by worryfreeinvestor
Wed Apr 10, 2019 9:55 am
Forum: Canada / United States Tax & Accounting
Topic: US tax for RRSP RIF distribution Taxable and Foreign tax Credit
Replies: 26
Views: 1291

Re: US tax for RRSP RIF distribution Taxable and Foreign tax Credit

Which "form" are you discussing in this thread for 2018 1040, please? The 1040 itself? We do not receive a 1099-R for a RRIF distribution. We receive a NR-4 from the Canadian payer, which does not have a direct crosswalk to the 1040.
by worryfreeinvestor
Tue Apr 09, 2019 6:24 pm
Forum: Canada / United States Tax & Accounting
Topic: Reporting RRIF income on 2018 1040
Replies: 4
Views: 222

Re: Reporting RRIF income on 2018 1040

I was planning to report the gross income (as reported in CRA NR4) as taxable and then claim a foreign tax credit for the 15% withheld (also reported on CRA NR4). Or is there another way to report a RRIF distribution?
by worryfreeinvestor
Tue Apr 09, 2019 2:36 pm
Forum: Canada / United States Tax & Accounting
Topic: Reporting RRIF income on 2018 1040
Replies: 4
Views: 222

Reporting RRIF income on 2018 1040

US resident received Canadian RRIF distribution in 2018. Form 8891 (last revised in 2012) states to report on line 16a and 16b of 1040, but that cannot be right for 2018. Should I report on new line 4(a)? (The answer seems so obvious I hesitate to ask, but IRS treats RRSPs and RRIFs differently than...
by worryfreeinvestor
Tue Dec 26, 2017 2:23 pm
Forum: Canada / United States Tax & Accounting
Topic: RRI(F minimum distribution for US resident
Replies: 1
Views: 641

RRI(F minimum distribution for US resident

My friend has been a US resident since 2005, formerly Canadian. He had an RRSP from his former Canadian life. He has turned 71 and the RRSP has turned into a RRIF. The issue is, he does not need to withdraw from the RRIF to finance his lifestyle and wonders why he should withdraw the minimum distrib...
by worryfreeinvestor
Fri Oct 09, 2015 10:18 am
Forum: Canada / United States Tax & Accounting
Topic: Three questions re.: IRAs
Replies: 14
Views: 2376

Thank you. I keep porjecting back to when I was living in Canada and not a U.S. citizien ubut earned U.S. income and filed a 1040NR. I agree that's enough for this thread. But I may have to start abother one on how to deal with the wife's income taxex (i.e. differences in the way couples file in Can...
by worryfreeinvestor
Thu Oct 08, 2015 8:39 pm
Forum: Canada / United States Tax & Accounting
Topic: Three questions re.: IRAs
Replies: 14
Views: 2376

I have not been clear enough: I will have a salary in Canada, but also earn some income (gravy) as U.S. sourced consulting income.

Nevertheless: As a U.S. citzien living abroad, is the 1040 NR not the return I have to file with the IRA annually?
by worryfreeinvestor
Thu Oct 08, 2015 1:31 pm
Forum: Canada / United States Tax & Accounting
Topic: Three questions re.: IRAs
Replies: 14
Views: 2376

Thank you. What about filing Form 8833 with 1040 NR? Does that allow me to deduct contribution to employer-based RRSP to the same limit as if it was a 401(k)?
by worryfreeinvestor
Thu Oct 08, 2015 12:08 pm
Forum: Canada / United States Tax & Accounting
Topic: Three questions re.: IRAs
Replies: 14
Views: 2376

Thank you. I'll be able to contribute to RRSP in 2017, according to this scenario. Will that do me any good wrt to IRS? f I am a taxable resident of Canada and pay my Canadian taxes (after contributing to RRSP) will IRS want me to pay U.S. taxes on that contribution when I file my 1040 NR? If not, t...
by worryfreeinvestor
Thu Oct 08, 2015 11:05 am
Forum: Canada / United States Tax & Accounting
Topic: Three questions re.: IRAs
Replies: 14
Views: 2376

Thank you. Yes, I am planning to Rothify as much as possible, for the reason you cite. WRT, to the U.S source consulting income, is there not another problem? RRSP contribution limits are based on previous year's tax return. But I will not have a 2015 tax return for Canada. I have not done one for a...