Instructions for Form 8891 state: "Form 8891 is used ...
to report distributions received from RRSPs and RRIFs."
Some other discussions in this forum indicate RRSP withdrawals should be reported either
as General Limitation Income (on 1099-R) or
as Foreign Income.
Which one of the 3 is true?
Reporting RRSP withdrawals
Moderator: Mark T Serbinski CA CPA
Yes to all of these.
A 1099-R is a receipt issued by US pensions. Since your RRSP doesn't come from US, you need (in most cases) to fake a 1099-R for any of the common tax software programs. It is not something that gets sent to IRS, it is merelyt to get your numbers onto your tax return.
RRSP income is considered "general Limitation' income with regards to Formm 1116. There a re 8 different categfories of foreign income which must be separtated when determining your foreign tax credit.
Form 8891 must be submitted to IRS for every RRSP account you held durin gthe year, regardless if you took any withdrawls. It serves as both an deferral mechanism as well as a reporting mechanism.
A 1099-R is a receipt issued by US pensions. Since your RRSP doesn't come from US, you need (in most cases) to fake a 1099-R for any of the common tax software programs. It is not something that gets sent to IRS, it is merelyt to get your numbers onto your tax return.
RRSP income is considered "general Limitation' income with regards to Formm 1116. There a re 8 different categfories of foreign income which must be separtated when determining your foreign tax credit.
Form 8891 must be submitted to IRS for every RRSP account you held durin gthe year, regardless if you took any withdrawls. It serves as both an deferral mechanism as well as a reporting mechanism.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing 