How to report RRSP withdrawal/closure on Form 8938?

[EOG]

Did RRSP lump sum withdrawal in 2023 to close account in full. In addition to FBAR, I have reported RRSP each year since we moved to US on Form 8938, including this 2023 tax filing. I am wondering how the withdrawal/closing should be properly reported on this year's 8938 given the withdrawal and closing of account.

Lots of helpful info on forum [thanks nelsona, especially], on how to report RRSP withdrawal to IRS as income, and put foreign tax withheld on 1116 etc. (which I am doing). But I did not find posts discussing how to treat withdrawal/closure of RRSP on Form 8938.

Thanks for your help!
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Context: In 2023, closed RRSP in full (de-registered) via lump-sum withdrawal. Non-res tax withheld at source, and US$85k income is taxable in US.

Questions re: Form 8938 (2023 tax filing, for line references):

1) Does the withdrawal and closing of RRSP account count as a *sale* of foreign assets? [8938 Part II line 12 asks, “Were any foreign assets acquired or sold during the tax year?”]

2a) Should I be reporting the RRSP's US TAXABLE $85k withdrawal amount as income on 8938 Part III line 14d, "summary of tax items attributable to specified foreign assets” – since it was taxable income that I have reported in Form 1116? (and point to how it is on Form 1116 Part 1 line 1a?)

2b) Also if answer to question 2a is yes (report the tax on 8938 Part III line 14d), then later on Form 8938 Part VI 31d I would leave unchecked the box that says ‘no tax item reported in part III”, since I have reported a tax item in Part III, is this correct?

3) 8938 Part VI is where the RRSP account is reported as Other Foreign Asset. 8938 Part VI Line 31b asks for a date if the asset was DISPOSED of during tax year, is this withdrawal/deregistration a disposal? And if I don’t put a date, now that account is closed do I just stop including 8938 in future filings? [regrettably, for foreign financial *assets* in Part VI there is not a definitive “Account closed during tax year” checkbox like the same form offers for *deposit* accounts in Part V.]

[donaldruth]

Hello, as I know, the withdrawal and closure of your RRSP account is not necessarily considered a "sale" of foreign assets for the purposes of Form 8938. Generally, Form 8938 is used to report specified foreign financial assets, such as bank accounts, investments, and certain types of financial accounts. The closure of an RRSP account is typically treated as a distribution or withdrawal rather than a sale.

[ND]

use the open/close form boxes, tick 'closed' in your case