RRSP gains on California state taxes

Vanessa · Post by **Vanessa** » Sat Apr 12, 2014 5:30 am

Hi! I'm hoping someone can help me out.

I live in California and I recently learned that I was supposed to be reporting the gains in my Canadian RRSP account on my California state taxes.

How do I calculate the gain?

For 2013 would it be:
The value of the RRSP on December 31, 2013
Less: The value of the RRSP on December 31, 2012

I also made a withdrawal so how does that factor in?

Thanks. xx

nelsona · Post by **nelsona** » Sat Apr 12, 2014 7:56 am

For California, you treat the account like an ordinary nsheltered accout. So you are taxed on interest dividends and cap gains that are distribted to your account, plus any gains/losses from selling individual investments, just like any other investment account. Your RRSP withdrawal itself doesn't give rise to tax. except for the sale of actual investments in order to liquidate some funds for the withdrawal.

For federal, have you been filng ypur 8891's?

Vanessa · Post by **Vanessa** » Sat Apr 12, 2014 3:15 pm

Thank you for your reply, nelsona.

I'm a bit of a newbie at this. Could you tell me how I can find out what the interest dividends and capital gains that were distributed to the account? (My RRSP is with a bank and they take care of "managing" it.) Would my proposed calculation of the difference in the year-end balances work?

Regarding 8891's, I just discovered its requirement by reading other topics on this forum.

nelsona · Post by **nelsona** » Sat Apr 12, 2014 9:09 pm

sorry can't jhelp you right now. May maybe.

Vanessa · Post by **Vanessa** » Sat Apr 12, 2014 9:22 pm

I re-read what your previous post and realized I could find the numbers on my RRSP statements.

Thank you again, nelsona, for your help!