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.
Section 217 for RRSP Withdrawal
Moderator: Mark T Serbinski CA CPA