Retiree, Canadian citizen, sold stock showing Capital Gain of $140,000 with Tax withheld of $38,000, evidenced by a Computershare report and a 1099B. Which Profile form should I use to report and is this considered "non business income" as opposed to "investment income"? Is there any consideration for 20(11) or (12) deductions??
This Capital gain is reported on the Foreign Income screen. Canadians are exempt from US tax due to the tax treaty. Therefore the tax withheld is not allowed to be claimed on the Canadian tax return. The seller should have completed a W8ben form before selling the stock to let the payer know that he was a foreign person. The way to get the tax refunded is to apply for a Taxpayer I D number in the US(W7 form) and file a non resident return.
Thank you for your comprehensive response. Your advice will be followed.
You are leaving Intuit.
You have clicked a link to a site outside of the QuickBooks or ProFile Communities. By clicking "Continue", you will leave the community and be taken to that site instead.
