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Foreign Tax Credit Calculator Canada

Estimate the federal T2209 limit before completing the country-by-country form and your provincial schedule.

01T2209 INPUTS

Enter Canadian-dollar income for one country.

Include eligible carryback/carryforward used on this return.

02FEDERAL CREDIT

Estimated federal foreign tax credit

$3,000

T2209 estimate for one country

Non-business credit

$3,000

Canadian-tax limit: $3,600

Business credit

$0

Foreign tax not credited: $0

Calculate each country separately. This estimates the federal T2209 credit only; Form T2036 generally calculates the provincial or territorial credit. Quebec filers must follow T2209's line 43400 adjustment.

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What this estimate includes

Use Canadian-dollar amounts from the same return. The non-business calculation compares foreign tax paid with the Canadian-tax fraction on T2209; qualifying property income may also face a 15% cap.

Holding foreign property can also create a separate reporting obligation. Use the T1135 foreign property calculator to test the cost threshold.

The business calculation can include eligible three-year carrybacks and ten-year carryforwards. Confirm the amount available before entering it.

Questions this calculator answers

Do I calculate the foreign tax credit separately for each country?

Yes. Form T2209 calculates the federal credit separately for each foreign country, and the results are then totalled.

What is the non-business foreign tax credit limit?

It is generally the lower of qualifying foreign non-business tax paid and the portion of basic federal tax attributable to net foreign non-business income. A 15% property-income limit can also apply.

Does this include the provincial foreign tax credit?

No. Most provinces and territories use Form T2036 for their credit. Quebec administers its own provincial income tax and has a specific T2209 adjustment for business-income tax.

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