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posted Oct 30, 2019 9:45:07 PM

How to report US taxes paid if I was a part time Canadian resident in 2018 (April-December)? My W2 has total taxes paid for the entire year of 2018.

Hello,

I moved to Canada in April 2018 as a permanent resident from USA, where I had a full time job until March which turned into a part time job from April to December of 2018. I get that we only have to report foreign income we earned as a Canadian resident, but as for foreign taxes paid - how do i determine the amount of taxes paid on the income from April to December as the W-2 states the taxes paid for the entire year? Do I have to pro-rate the taxes paid based on the % of total 2018 income that I earned from April-December ? 

Thank you,
Teja. 

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1 Replies
Level 13
Oct 30, 2019 9:45:09 PM

Foreign income earned prior to arriving in Canada. We want to know about your US gross income. It boils down to whether you get a full year or is it prorated from your date of entry into Canada. Therefore, you are not taxed twice based on the tax treaty we have with the USA.

You would apply it under the FTC form, which can be located by clicking on the “Find” icon at the top right of your page and typing in “Foreign Tax Credit” this will bring up the correct form to use to claim the taxes paid.

As for determining how to calculate your taxes paid for April to December, I would suggest you contact your employer to figure out the taxes paid for that time period.