Feigenbaum Law

Foreign tax credits

foreign tax credits

Personal Tax Planning

Case Summary – Foreign Tax Credits for Canadian Residents

In a decision released late last year, the Tax Court of Canada confirmed that foreign tax credits may only be deducted for amounts that were actually paid to foreign governments. The Canada-US tax treaty and foreign tax credits The Canada-US tax treaty is intended to prevent double taxation when someone files tax returns in both countries. When a US citizen earns pension income from a US-based source, the treaty allows the US federal… Read More