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lenne45
Feb 29, 2008, 07:38 AM
I own shares in two Canadian royalty trusts which withhold 15% taxes from distributions. I received no credit on my 1040 for these taxes. Can I apply for a refund from Canada?

AtlantaTaxExpert
Apr 16, 2008, 02:06 PM
You can aply for a Foreign Tax Credit (Form 1116) to get a dollar-for-dollar tax credit on Form1040.

MukatA
Apr 16, 2008, 08:30 PM
The income from Canadian royalty trusts is taxable in Canada.

If you are a U.S. citizen or resident, you must report this income on your U.S. tax return. You will also file Form 1116 to get credit for the taxes paid in Canada.

Read: Your U.S. Tax Return: U.S. Citizen or Resident with Foreign Income (http://taxipay.blogspot.com/2008/03/us-citizen-or-resident-with-foreign.html)