Accepted Answer

Hello XXXXXX, If you are a US Citizen then the following information applies. A foreign pension or annuity distribution is a payment from a pension plan or retirement annuity received from a source outside the United States. Just as with domestic pensions or annuities, the taxable amount generally is the Gross Distribution minus the Cost (investment in the contract). Income received from foreign pensions or annuities may be fully taxable, even if you do not receive a Form 1099 or other similar document reporting the amount of the income. Since you did not contribute to the retirement and you do not meet the requirements to count your employer's contributions, then you will not have a cost to offset any of the taxable amount recieved. In short, based on the information you have supplied, the retirement income will be taxable to you if you are a US Citizen. I sincerely hope this information is helpful to you,

Edited by Robin D on 10/12/2009 at 1:56 PM

Expert:	Robin D
Pos. Feedback:	100.0 %
Accepts:
Answered:	10/12/2009

Senior Tax Advisor 4

15years with H & R Block. Divisional leader, Instructor