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bigbigblake

Canadian Income - Is it taxable in US?

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Filed: IR-1/CR-1 Visa Country: Canada
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My wife currently receives money monthly from the "Victims Compensation Plan" and his "Canada Pension Plan" since he died before Retirement age.

This money will continue even after she permanently moves to the US.

We are curious if I should have been reporting this money on my US Tax return. It is non-taxable in Canada.

Does anyone have any advice regarding this?

Thanks!

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Filed: K-1 Visa Country: Cuba
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I don't know about the victims compensation but here is what they say about the pension:

http://www.irs.gov/faqs/faq/0,,id=199667,00.html

Canadian & U.S. Tax Issues

Question: Are the Canada Pension Plan and Canadian Old Age Security Benefits taxable? If they are, please tell me where they should be entered on Form 1040.

Answer: Benefits paid under the Canada Pension Plan (CPP), Quebec Pension Plan (QPP), and Old Age Security (OAS) program:

• If the recipient is a resident of the United States—

• are taxable only in the United States if the recipient is a resident of the United States,

• are treated as U.S. social security benefits for U.S. tax purposes, and

• are reported on Form 1040 (PDF), U.S. Individual Income Tax Return or Form 1040A (PDF) on the line on which U.S. social security benefits would be reported.

• If the recipient is a U.S. citizen or green card holder who is a resident of Canada are taxable only in Canada.

NOTE: Refer to Tax Topic 423 for information about determining the taxable amount of your benefits.

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Filed: Citizen (apr) Country: Canada
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Canadian income must be reported on the US tax return even if its not taxable.

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