This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.
Hi, I took out a pension from a defunct Canadian company I worked for last year. I took the whole lump sum. I brought my taxes to an accountant here in Texas and got my returns. I see I was charged 10% on form 5329. I thought this not being a US account, I did not have to pay that 10 % early withdrawl. I already paid the Canadian taxes and declared this as income on my US return.
Thanks.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
You'll need to amend your return, 1040-X. Tell your CPA to get his head out of his ass, put 1040 line 58 to ZERO, and explain on the 1004-X that this was NOT a quealified plan, since it was a foreign pension, and that he is an idot, and will never prepare a fake a 1099-R for a foreign pension.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
While you are at it, make sure that your foreign tax credit (form 1116) was handled properly, too.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best