I'm a US citizen now also Canadian citizen and worked for a school district(non teaching) for many years in Oregon. Left that job and moved to Canada in 2000 to get married. Have not worked since except for the first year which I filed US taxes for even tho I didn't make enough to. Health has not allowed me to since. We do not own a home, and we don't have any FBAR filing requirements. No big savings.
I want to start drawing on my Oregon pension soon. I know IRS will probably take an amount so can I file something so it's 15% withholding but not more? I'll be 59 years old by the way.
Then I assume I file a 1040NR? Or a regular 1040, I used the regular 1040 before.
Then on my Canadian return is where I'm most confused, I'll be setting a portion aside to pay the taxes that will be due, i just can't seem to figure out exactly where and how to report it.
Line 115? Any advice or a pointer in the right direction would be appreciated.
Cross border pension
Moderator: Mark T Serbinski CA CPA
Re: Cross border pension
Your pension will be withheld, likely 15% (it could be zero), but you need to file a US 1040 (not 1040NR) in any case because you are a US citizen. Then the tax you ultimately calculate on this pension income will be used on your Cdn return as a credit.
US Pension income (and the associated tax) is eligible for pension splitting in Canada.
US Pension income (and the associated tax) is eligible for pension splitting in Canada.
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