Tax refund from the IRS and CRA foreign tax credit

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skarme312
Posts: 5
Joined: Mon Apr 26, 2021 2:24 pm

Tax refund from the IRS and CRA foreign tax credit

Post by skarme312 »

This is the first time that I got a refund from the IRS. How do I go about the refund on the Canadian side? Do I apply that as income for next year or simply subtract it from the foreign tax credit amount?
nelsona
Posts: 17014
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: Tax refund from the IRS and CRA foreign tax credit

Post by nelsona »

The foreign tax you claim on your CDn return comes from the tax you calculated on your 1040. You should have already accounted for the refund when determining your foreign tax credit in Canada.
I am taking my usual break from this site until May. Always too many tax-form specific questions at this time of year...
nelsona non grata. Non pro. Search previous posts. Happy Browsing :D
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