RRSP ( 1099 Div 0r 1099-Int)

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kerry
Posts: 13
Joined: Mon Apr 12, 2010 9:50 pm

RRSP ( 1099 Div 0r 1099-Int)

Post by kerry »

I Have a question, I filed 8891 for years since 2003, in this few years, I received 1099-Div; 1099-Int from RRSP accounts ( I think they are mutual funds companies). Since the amounts are really small, I think less than $100 totally. In order to avoid unnecessary trouble, I still report as income every year even though I know that is tax deferral when after I filed 8891. I called RRSP companies for few times and ask them stop to send me that, and I explain that I have elect the treaty, but they are not listen, what should I do ? I even included those income into year 2009 1040.
If they do not stop to send me those tax slip and if I am not report it, I think IRS might question about it, it will cost me lots of trouble. so, Next year, when I file my tax return, can I make a copy for those tax slip with explain attach to my 1040 ? thank you
nelsona
Posts: 18311
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

The fact that you got a 1099 is meaningless. You elected to defer taxtaion on income, so that is what you must do.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
Dshee12453
Posts: 6
Joined: Sun Mar 31, 2013 12:58 pm

Post by Dshee12453 »

Hello, I was wondering if anyone is still having problems with this matter. Last year my RRSP broker sent 1099s with tax withheld and I contacted them so it would stop. This year they sent a 1099-Div without tax withheld. I contacted them again and they mention they are aware of the US-Canadian treaty (defer taxes on RRSPs) but they will continue to send 1099-DIVS for RRSPs. They mention it is up to me to file correctly with the IRS.

I am confused and fed up. If I am filing 8891s every year to defer taxes, but they are sending 1099s how with the IRS know these should be tax deferred? I know Nelson mentions you must file as specified on 8891, but I think the IRS computers will flag you for unreported 1099s if you follow this path.

I am thinking of cashing in my RRSPs and be done with this mess year after year. I look forward to feedback from other members on this issue.
nelsona
Posts: 18311
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

As I said ealier, the fact that they send you a 1099 is meaningless. As long as they do not withhold tax, you are fine. Ignore the 1099 and keep filing form 8891.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
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