Claiming FTCs for taxes paid on US dividends. Is this correct?

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skierbob
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Joined: Fri Jan 12, 2024 6:01 pm

Re: Claiming FTCs for taxes paid on US dividends. Is this correct?

Post by skierbob »

Can I claim the tax credit on my Canadian return, even if the amount of tax I pay to the US ends up being zero due to the child tax credit?
nelsona
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Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: Claiming FTCs for taxes paid on US dividends. Is this correct?

Post by nelsona »

Remember, that your US tax is determined BEFORE taking any FTCs, but included Child tax credit. From what you described, you do have US tax liability before the application of FTC, so you would have a claim on your Cdn return, for the tax determined (pre-FTC) on your 1040, and it would be EITHER 15%, or ZERO, depending on your income level.
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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