Canadian deemed disposition used as foreign tax credit

shambed · Post by **shambed** » Tue Oct 11, 2016 8:48 pm

Is there a way to use the tax paid or accrued on the deemed disposition of stocks as a foreign tax credit on either a 1040NR or 1040? thanks.

nelsona · Post by **nelsona** » Wed Oct 12, 2016 4:47 pm

NBo, since you will not report the deemed gain on your 1040, ever.

You can use the tax PAID in any year for any reason (except for income you excluded using 2555), as a tax deduction, even if you have no income to report.

nelsona · Post by **nelsona** » Wed Oct 12, 2016 4:48 pm

deduction on schedule A (only of 1040, not 1040NR), if you itemize.