Rules for Inheriting Foreign Property T1142

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cat
Posts: 46
Joined: Tue May 24, 2005 1:40 pm

Rules for Inheriting Foreign Property T1142

Post by cat »

I am a US/Canadian dual citizen living in QC for 30+ years. My brother died in the US in 2016 and I expect to receive some money (maybe $30K) this year, now that (the estate) his home is sold, all the bills paid and things are settled.

Will I have to report this as a distribution (i.e. inheritance) received from the foreign estate of my brother and fill out a T1142 – Information Return in Respect of Distributions from and Indebtedness to a Non-Resident Trust? Does it matter if I leave the money in my US bank? I already file a T1135. How about if I transfer it to my bank in Canada or am I required to report it regardless of where the money is deposited?
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nelsona
Posts: 18675
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

I believe if you read the instructions carefully, you will see that beneficiaries in estates are exempt from T1142 reporting.
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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