Hi,
We are US permanent residents. My wife just started getting some UK state pension benefits. This is something every Britton gets as a senior. Is this treated the same way as social security benefits for tax purposes?
I know that Canada CPP and OAS benefits are treated the same way as SS income if you reside in US.
No, you need to read the US/UK tax treaty. It doesn't get the same treatment a Canadian CPP & OAS. It's reported on Line 21 of 1040 as other income.
Canadian CPP & OAS is a result of the Social Security Treaty, not the Canadian-US Tax Convention. There may be a UK-US Social Security Treaty separate from the UK-US Tax Convention that you also need to locate and read in your case.
The application of the income tax to Canadian social security benefits is in paragraph 5 of Article XVIII of the U.S. - Canada Income Tax Convention, not the bilateral social security agreement.
You have to read the US/UK tax treaty to see how it applies to this type of income
The Canadian/US tax treaty likely will have different provisions than the US/UK tax treaty So don't necessarily expect the same treatment
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