Annual or Spot Exchange Rate?

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.

Moderator: Mark T Serbinski CA CPA

Post Reply
Posts: 7
Joined: Sun Feb 07, 2010 1:23 pm

Annual or Spot Exchange Rate?

Post by ontn » Sun Feb 28, 2010 1:55 am

I only received ONE Canadian Pay Check in January 2009 (Before moving to USA).

For US Income Tax Purposes (Doing 1040 for Full Year World Income), do I use the Spot Exchange Rate on that Date or Annual 2009 Rate?

The ONE Canadian Pay Check was for Hours Worked in Late 2008 & A 2008 Year-End Bonus.

Thanks again!

Posts: 16424
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona » Sun Feb 28, 2010 8:14 am

You should use the exchange on that day. The only time one should use average rates is for periodic regular payments.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D

Post Reply