T2209: Federal Foreign Tax Credits

What is T2209?

T2209, Federal Foreign Tax Credits, lets a Canadian resident who paid income or profits tax to another country claim a credit against Canadian federal tax on that same foreign-source income. The credit is meant to relieve double taxation, and it is calculated separately for non-business income and for business income, with limits based on the foreign income reported and the tax paid. The completed calculation supports the foreign tax credit claimed on the income tax and benefit return, and a provincial or territorial foreign tax credit may also apply.

T2209 is a dynamic PDF that the CRA publishes in Adobe XFA format. It does not fill in a web browser, so it will not display in the in-browser editor or quick-fill form here. Download it and open it in Adobe Acrobat Reader to complete the fields, then file it with your return.

Who files T2209?

• Canadian residents who paid foreign income or profits tax on foreign-source income
• People with foreign investment, pension or employment income taxed abroad
• Taxpayers with foreign business income seeking relief from double taxation
• Filers who need to support a foreign tax credit claimed on their T1 return

How to fill out T2209

1. Download the form and open it in Adobe Acrobat Reader, since it is a dynamic PDF that will not fill in a browser.
2. Enter your foreign non-business income and the non-business income tax you paid to the foreign country.
3. Enter any foreign business income and business income tax, keeping the two calculations separate.
4. Work through the limit calculations to determine the allowable federal foreign tax credit.
5. File the completed schedule with your income tax and benefit return sent to the Canada Revenue Agency.