Foreign pension income - General
Your foreign pension may qualify for a tax deduction under the
terms of a treaty signed between Canada and the originating
country. If you do not know whether any part of your foreign
pension is tax exempt, contact the CRA.
To enter the amount of your foreign pension income, follow the
steps below:
1. On the "Left side menu on the Interview tab" select
"Interview setup".
2. On the page that appears on the right, go to the
"Investment income and expenses" group, check the box
"Foreign income and foreign property (T1135)" and click on
"Next" at the bottom of the page.
3- Return to the "Left side menu on the Interview tab"
and select "Foreign income and property".
4- On the screen to your right, click on "Foreign pension
income (includes U.S social security benefits)".
5. On the new generated page, go to the line "Country from
where you received the foreign income". If your country signed
a tax treaty with Canada, a deduction under 20(11) will not be
allowed, enter the name of the country according to the list
generated by the program.
6- For the line "Type of foreign pension income", choose
the income that corresponds to your situation from the drop-down
menu on your right.
7- For the line "Amount of foreign income received",
enter the amount you received.
If part or the entire pension is exempt from tax under an
agreement or a tax agreement concluded between that country and
Quebec or Canada, you can claim a deduction for income not taxable
under a tax treaty. The International Tax Services Office of the
Canada Revenue Agency can inform you about these tax treaties and
arrangements.
8- Once this information is obtained, for the line "Income
exempt under a tax treaty (leave blank for US social security
benefits)", enter the amount.
This amount will be reported on line 25600 of the federal return
and line 297 of the Quebec return. The code 12 will be entered on
Quebec line 296.
This income will be generated by the program on lines 11500 of
the federal return and 122 of the Quebec return for residents of
that province.
For more details, please consult the CRA's website, as well as
Revenu Québec's website if applicable, via the following links:
CRA:
https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/personal-income/line-115-other-pensions-superannuation/line-115-pensions-a-foreign-country.html
Revenu Québec:
https://www.revenuquebec.ca/en/citizens/your-situation/income-earned-outside-quebec/pension-from-a-foreign-country/
ID: 20191001140335DEXX.xml
Webpage: KPA360-20191001140335DE.htm
