RRSP, buy or not?

bmx · Post by **bmx** » Sat Feb 24, 2007 3:39 pm

Hi all:

I have worked in US with TN visa since Feb 2006 and the whole 2006 income of myself was from us sources. My wife still lives in Ontario and has a job there. I have kept my Canada TD bank account and its credit account.

I noticed from Notice of Assessment that my 2006 RRSP deduction limit was around 15000. To my understanding, I need to report my 2006 income to us as a resident allien. So my question is whether or not I should buy the RRSP at this time in order to reduce my taxable income. In order words, is there any way that I can take advantage of my RRSP deduction limit to reduce tax payment?

bmx · Post by **bmx** » Sat Feb 24, 2007 3:52 pm

Thanks a lot for any suggestion.

nelsona · Post by **nelsona** » Sat Mar 03, 2007 10:59 pm

Your RRSP contribution won't reduce your US tax, so contribute just enough (or deduct only what you need) to reduce your Cdn tax to '0'.