Tax treaty coverage between US and Canada

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cadmen
Posts: 4
Joined: Sat Mar 05, 2022 4:31 pm

Tax treaty coverage between US and Canada

Post by cadmen »

Hi everyone,

I am a Canadian, and a US non resident alien in 2021, but received some unemployment insurance from US ($5k)(Form 1099G), and some 401(k) distribution (<$100), and a little interest ($10) from IRS. Are these types of income covered under the tax treaty between US and Canada?

If not, I will have to include these incomes in Form 1040-NR and take some foreign tax credit while filing my Canada tax return.

But if yes, the CRA will not allow me to take foreign tax credit on them.

Thank you in advance for your help.
nelsona
Posts: 18675
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: Tax treaty coverage between US and Canada

Post by nelsona »

When you file your 1040NR, you will likely find that you owe no tax. Your wages are exempt by treaty.

The US bank interest is not taxable on 1040NR.
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
cadmen
Posts: 4
Joined: Sat Mar 05, 2022 4:31 pm

Re: Tax treaty coverage between US and Canada

Post by cadmen »

Thanks nelsona. The interest is from IRS.
nelsona
Posts: 18675
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: Tax treaty coverage between US and Canada

Post by nelsona »

same thing
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
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