Are T3/T5 Qualified Payee Statements for 1116 Election?

Dalthien · Post by **Dalthien** » Wed Apr 14, 2010 4:00 pm

Can T3/T5 forms be considered as 'Qualified Payee Statements' in order to meet the requirements for Electing to claim the foreign tax credit without having file Form 1116?

And if they do count as Qualified Payee Statements, does anything have to be done to file the 'Election', or do you just not include 1116 with your return?

Dalthien · Post by **Dalthien** » Wed Apr 14, 2010 8:53 pm

Disregard my question.

I just noticed that the qualified payee statement must also show the taxes paid (not just the income), so T3/T5 forms wouldn't count in my case.

nelsona · Post by **nelsona** » Thu Apr 15, 2010 10:28 am

You are correct. The only way to avoud 1116 is if you have US broker who withholds foreign tax on dividends, correctly reports them to you, and you have no other foreign tax issues.

It will never apply to you.