7,367
edits
Difference between revisions of "Property and Debt in Family Law Matters"
From Clicklaw Wikibooks
Property and Debt in Family Law Matters (view source)
Revision as of 22:14, 3 April 2013
, 22:14, 3 April 2013→Dividing RRSPs
Nate Russell (talk | contribs) |
Nate Russell (talk | contribs) |
||
| Line 252: | Line 252: | ||
===Dividing RRSPs=== | ===Dividing RRSPs=== | ||
Normally, if you wish to cash out an RRSP, you have to pay tax on the RRSP as if the RRSP was taxable income, like employment income. Under the federal ''Income Tax Act'', transfers of RRSPs between spouses are tax neutral, under what are called the ''tax-free spousal rollover'' provisions of the act. | Normally, if you wish to cash out an RRSP, you have to pay tax on the RRSP as if the RRSP was taxable income, like employment income. Under the federal ''[http://canlii.ca/t/7vb7 Income Tax Act]'', transfers of RRSPs between spouses are tax neutral, under what are called the ''tax-free spousal rollover'' provisions of the act. | ||
When RRSPs are to be transferred between spouses according to a separation agreement or court order, the RRSPs are simply transferred between the spouses' RRSP accounts without having to cash them out, and no tax is payable. | When RRSPs are to be transferred between spouses according to a separation agreement or court order, the RRSPs are simply transferred between the spouses' RRSP accounts without having to cash them out, and no tax is payable. | ||
