FOREIGN INCOME?

[Possi]

I wish I had Rita's meme of the guy spitting his water....

I took a new client years ago who has a foreign bank account in Norway. I check the boxes on the Sch B and we do the FBAR together every year. She had her ducks together, I followed the now retired CPA's return when I took her on, did some research myself to help with the FBAR, and life was copasetic.  

Last year, she and her sister sold the cottage in Norway and I included that income on her tax return. Her intention at that time was to close the foreign account and bring that money here. Great. No more FBAR (which scares me to death....)

Today, I called to tell her I wrapped up her tax return, and needed to know if she still had that foreign account.

Yes, and her "little pension" is still going into it. "But it's ok, I pay taxes in Norway on that income, and it stays in Norway."

OMAFB (Oh my aching frigging back)

Wasn't I supposed to include this as income all these years? And claim foreign taxes paid?

I threw up in my mouth a little bit today.

[Abby Normal]

Yes, I have a few of those. Eventually I found the FECWKST and could stop putting it on line 21.

Mine aren't taxable in the other country, though. Or so I'm told.

[jasdlm]

7 minutes ago, Abby Normal said:

Yes, I have a few of those. Eventually I found the FECWKST and could stop putting it on line 21.

Mine aren't taxable in the other country, though. Or so I'm told.

Learned something today, but this year's peeps already went on Line 21.  Wonder if I can remember for next year.

[Abby Normal]

Copious notes in ATX is the only way I remember most of these things and also how I pass on what I've learned so my employees are better/faster next year.

Always be learning, always be improving, always look for ways to save time and aggravation.

[Pacun]

I found this and I wonder if other countries SS equivalent can be entered on our regular SS worksheet.