Mortgage Glossary

|Back To Glossary|

Disabled Person - RRSP Withdrawels

Revenue Canada considers a person to be disabled if one of the following situations applies:
• The person was entitled to the disability deduction on line 316 of the person's return for the year before the Home Buyers' Plan withdrawal, and still meets the eligibility requirements for the disability deduction when the Home Buyers' Plan withdrawal is made. OR
• If the person was not entitled to the disability deduction for any year before the Home Buyers' Plan withdrawal, a Form T2201, Disability Tax Credit Certificate, certified by a medical doctor or appropriate medical practitioner (i.e., an optometrist, audiologist, psychologist, or occupational therapist), is filed with Revenue Canada for the year of the Home Buyers' Plan withdrawal.
If Form T2201 is not approved, withdrawals will not be considered eligible under the Home Buyers' Plan and they will have to be included as taxable income for the year.

 

 

 

 

 

 

 

 

 

BC Mortgages.ca - Working with you - offering superior service from over forty lenders.

 

|