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   can.taxes      All that "free" healthcare has a price      23,408 messages   

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   Message 22,398 of 23,408   
   Andy Petro to Alan Bowler   
   Re: German pension   
   15 Feb 12 22:13:48   
   
   From: andy.petro@sympatico.ca   
      
   "Alan Bowler"  wrote in message   
   news:jhgpln$qvj$1@dont-email.me...   
   > On 2/14/2012 9:01 PM, Andy Petro wrote:   
   >> How much can we deduct from a German pension received from Germany. Was   
   >> 50 %   
   >> last year   but it caused double taxation which Ottawa was fighting.   
   >   
   > First you need to explain the situation more clearly.   
   >   
   > Generally you don't "deduct" anything from foreign income.   
   > That is normally done by whoever is paying you before you   
   > receive it, and then you claim credit for taxes already   
   > paid (deducted), even though they were paid to the the foreign government.   
   > This usually works out to about a 50/50 split of the actual   
   > tax between the two governments, but details vary based on the   
   > particular tax treaty.   
   >   
      
   This is not the case with Germany with whom they have a tax treaty. It they   
   received 5000.00 .They deducted 50 % and paid Canadian tax on the other   
   2500.00   
   however things changed last year when Germany demanded that we pay them also   
   on the 2500.00 . Canada called this double taxation , fought it and won.   
   So we don't know where we stand in the amount to deduct.   
      
   --- SoupGate-Win32 v1.05   
    * Origin: you cannot sedate... all the things you hate (1:229/2)   

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