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-   -   Foreign tax credits (https://www.askmehelpdesk.com/showthread.php?t=479579)

  • Jun 14, 2010, 04:28 PM
    tufa4311
    Foreign tax credits
    My situation:
    -I am a Dual US/Canadian Citizen
    -I work for a Canadian company, pay Canadian income taxes
    -I live in the US (at least I am in the US 80% of the year, heading back to Canada once a quarter)
    -I am married to a US Citizen who has no ties to Canada, and has US Income
    -we file jointly in the US

    My question: I have been told by my tax person that I will only get about 77% of my foreign tax credits from the IRS against my paid Canadian taxes. They are estimating I owe about $500/quarter in US taxes from my Canadian income. How is this not double-taxation? Is there any program under the Canada Revenue Agency that would allow me not to pay Canadian taxes on my income if I'm paying US taxes on it? Help!

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