How to claim US foreign income?

[richardsun]

My son just moved to US in Sep ,2022 and worked there since then, so how does he file the tax return in Canada for 2022? He also have T4 for Jan to Aug in Canada.

[Alanne]

First, please make sure to say yes that he moved and enter his address at the end of December 2022. If you paid withholding taxes to a foreign country on the income you earned, the CRA does not allow you to decrease your income by that amount. Instead, you may claim a foreign tax credit on your federal return. For more information, visit Line 40500 - Federal foreign tax credit.

Note: All amounts must be reported in Canadian dollars. Use the Bank of Canada exchange rate that was in effect on the day you received the income. If you received this income a number of times during the year, use the average annual exchange rate.

For more information please see these TurboTax FAQs: 

Foreign Income and Tax Treaties 

How to File Taxes if You Left Canada During the Tax Year

Thank you for choosing TurboTax!

[richardsun]

Thanks for the reply, very appreciated!

But how much can I enter for "Tax treaty exempt amount" when apply Foreign tax credit?

Thanks,

Richard

[TurboTaxSusan]

That would depend on the type of income and what the tax treaty says is exempt.