Discussion:Foreign Pension
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Discussion Forum Index --> Tax Questions --> Foreign Pension
| 2 March 2006 | |
| Depends on who is paying the pension and what country is involved and whether the taxayer was a nonresident alien at the time he earned the pension. | |
| 2 March 2006 | |
| Also depends on the tax treaty with the country and where the taxpayer resides. Could depend on where the income was earned that was the source of the pension, and may reauire allocation. | |
| 3 March 2006 | |
| Taxpayer is a US resident & the pension was earned in Russia while a resident of that country. | |
| 4 March 2006 | |
| If it is a Russian Social Security benefit or public pension, it is taxable only in Russia. All other pensions would be taxable in the U.S. only.
However, your client may have a cost basis in the pension under Sec. 72(f)(2), as limited by Sec. 72(w). Also, see Sec. 72(f)(1). | |
Chris2lane (talk|edits) said: | 2 April 2008 |
| I need some help on a Canadian pension. Client played in the CFL in the mid 80s. During 2007, he cashed out his Canadian pension. He is an American citizen and only stayed in Canada during the football season. He received a NR4 form stating his pension amount and taxes withheld, all in US$. My question is exactly how to report this on his 1040 (the amount distributed and his withholding)? Any help would be appreciated. | |
| 2 April 2008 | |
| I also have a Canadian question. Is the foreign accounts form (I think the number is TDF 90.22-1) required to be filed when a U.S. citizen has a Canadian pension from days when he worked there? The instructions lead me to think so even thought they do not specifically say that. | |
| 3 April 2008 | |
| I don't believe so. This is a foreign trust, and the client should make an election to be excluded from the grantor trust rules if he has an interest in an RRSP. | |
| 3 April 2008 | |
| Taxwizard,
Are you addressing the Canadian pension question? What is an RRSP? | |
| 3 April 2008 | |
| Taxwizard,
You should update your profile so we will know your background. Thanks. | |
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