Dividend withholding recovery

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Bubba Gums
Posts: 50
Joined: Tue Jul 15, 2014 7:20 am

Dividend withholding recovery

Post by Bubba Gums »

US resident, CDN-employment, CDN source dividends
Is it possible to recover the 15% treaty withheld tax on a cdn source dividend and include this income on my CDN return? Is this NR7 and if so any suggestion on how to describe this reason and obtain the details?
nelsona
Posts: 16806
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: Dividend withholding recovery

Post by nelsona »

No. Non-residents are to be taxed 15% flat rate. There is no provision for the non-resident to report Cdn dividends nor claim the dividend tax credit.

The 15% is to be included on the US tax return towards a credit on a passive income 1116.

NR7 would be to recover NR tax that was withheld at a higher than treaty-specified rate. Yours seems to have been withheld correctly.

And, before you ask, there is no "non-discrimination" provision that would cover this.
Nelsona Non grata. Non pro. Search previous posts. Happy Browsing :D
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