Conversion to RIF/LIF from RSP/LIRA - Form 8891

[lukehiggins]

Background:
I moved to the US in 1999 and have since become a citizen. A year before leaving Canada my employer collapsed the pension plan had paid my pension entitlement into a LIRA and an RSP. I have never made any contributions to either plan. I have always filed 8891's. In March 2012, I withdrew $24000 (about 10% of the total) from the RSP (and paid the correct 25% w/h tax). In August 2012, I converted the remaining balances into a RIF and a LIF. It is my understanding that all withdrawals now and into the future will be taxed in the US on the total amount received as all the contributions to the plan were by my employer.

Question:
My RIF/LIF's accounts are not with the company that held my RSP/LIRA. In completing the 8891's do I show one set of 8891's for the RSP and LIRA with the distributions being the full amount transferred to the RIF/LIF on line 6a, the taxable amount withdrawn from the RSP on line 6b and line 6c as $0? And then complete a new set for the new RIF and LIF? If so, would the answers to 6a be yes and the year in 6b the same as the previous accounts (i.e. 1999)? And would I show the amount transferred in on line 9? Or, can I just change the name and address of the custodian and the new plan numbers and types, show the withdrawal nominally from the RIF and avoid the large non taxable number on line 16a of my 1040? The tax effects are the same in both cases.

[nelsona]

The only distribution that should appear is the 24K on the original RRSP.

Show the year-end totals on the old account(s) as zero, and show the actual year-end amounts on the new accounts.

You could, if you are filing by paper, add a not to each old 8891 that the remaining funds have been transfered to new account(s) xyz.

For the election, the original election date from the source account(s) is carried forward unchanged