Section 217 for RRSP Withdrawal

This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

Moderator: Mark T Serbinski CA CPA

Post Reply
Pauline
Posts: 13
Joined: Thu Apr 09, 2015 11:23 am

Section 217 for RRSP Withdrawal

Post by Pauline »

Hi,

My husband and I withdrew from our RRSPs when we were non resident of Canada. I am trying to use section 217 to lower the 25% tax that we paid to Canada.

I did not work since we moved to the US, so for my case I can get all the taxes back.
But my husbands gets nothing considering his income in the US.

Considering that we had medical expenses, Children's fitness amount, and my unused tuition credit, my non refundable federal tax credit is much higher than my net federal tax.
Is there a way I could use this to lower my husband's income? Or is there a way he could split his income or RRSP withdrawal with me?


My second question is about the foreign tax credit: the instructions indicate that "if you were a former resident of Canada who disposed of certain taxable Canadian property in 2014, you may be able to claim a foreign tax credit."
Is RRSP withdrawal considered disposition of taxable Canadian property? And does it entitle my husband to use any of the tax that he paid to the US in his Canadian return?

Thanks.
nelsona
Posts: 18314
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

If your souse worked in US it is not likely that 217 will benefit him.

No foreign tax credit is available to you. RRSP is not one of the properties that this applies to.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
Post Reply