How to enter NR4 from Canada for my teachers pension plan payments?

Forum|Forum|1 year ago
March 8, 2025
1 reply
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I am not receiving monthly pension payments from my Teacher's Union in Canada. I have read conflicting advice on where one should enter the Canadian NR4 income into TurboTax 2024. Do I enter it in 1099-R and enter the same amount into Box 1 Gross distribution and Box 2a Taxable amount? Should the check box be "Taxable amount not determined" or "Total Distribution"? Then do I also enter the amount and taxes paid into form 1116 so I can get the foreign tax credit I paid? It seems like filling in both forms causes TurboTax to count this income twice.

Thanks in advance for any help on this.

Chas

TurboTax Home & Biz Windows

DaveF1006

Yes. Canadian NR4 income, such as Canada Pension Plan (CPP) or Old Age Security (OAS) benefits, is treated similarly to US Social Security benefits for tax purposes under the U.S.-Canada tax treaty. This means that if you're a U.S. resident, you would report these benefits as though they were received under US Social Security legislation. To report:

Go to Income or Wages and Income
Retirement Plans and Social Security
Social Security (SSA 1099...)
Payments you received during 2024 in Box 5 in US dollars

You would enter the same amount on Form 1116 as the Gross Income Amount. This amount isn't copied over to your 1040 though, so the income won't be taxed twice.

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