Tip 12 - Can you transfer a foreign pension to an RRSP?

In accordance with a March 19, 2001 CCRA Technical Interpretation, Canadian residents may roll over their foreign pension benefits to an RRSP under the following conditions:

$image\BULLET.gif$ the pension benefits relate to services provided during a time when the individual was not resident in Canada,

$image\BULLET.gif$ the foreign plan must have received contributions from other than just employees,

$image\BULLET.gif$ only the portion taxable can be rolled over; and

$image\BULLET.gif$ it must be transferred to an RRSP within sixty days after year end.

If you have a taxable foreign pension, consider rolling it over to your RRSP to defer the tax on it.

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