401k contribution deduct from RRSP deduction limit or not?

[davidgray]

I use TN Visa working in US. I contributed 10k to 401k in 2016. I filed my tax return: Non-resident in US, and resident in Canada. I have a question whether my 401k contribution (10k) should be deducted from RRSP deduction limit for next year?

Recently, I received my Notice of Assessment from CRA:
RRSP/PRPP deduction limit for 2016: $15k
Plus:18% of 2016 earned income: $20k
RRSP/PRPP deduction limit for 2017: $35k

Here is how I file my contribution of (401k) in line 207 this year.
Registered pension plan deduction 207: $10k

Also my RC268 looks like:
Amount of your 2016 contributions to the U.S. retirement plan:$10k (401k)
Line 5125: $10k

Why my RRSP/PRPP deduction limit for 2017 is $35k, but not $25k, which should deduct $10k regarding my 401k contribution?

Did I do something wrong when I filed my this year’s Canada Tax? Or Canada CRA doesn’t consider 401k contribution should be part of RRSP limit?

Thanks

[nelsona]

Yes, they should have deducted 10K from your RRSP limit for 2017.

[davidgray]

Thanks for quick reply. But why it didn't?

I guess I missed some numbers when I did my tax return. I put 10k in line 207. Also, 10k is in line 5125 in RC268. What anything else I should do? I just worried I will be punished by CRA.

Many thanks

[nelsona]

How will you be "punished"? You are not overcontibuting.
If you want to call the telephlunkies and point out their error, go ahead. Good luck.

[davidgray]

Thanks.