Application
Schedule 7 must be completed if the taxpayer:
- Does not claim, in his or her current year’s return, the full amount of his or her unused RRSP contributions that appears on line B of his or her RRSP deduction limit statement found on the Notice of Assessment or Notice of Reassessment for the previous taxation year.
- Transfers amounts to his or her RRSP/PRPP;
- Claims a deduction for contributions made before March 2 of the previous taxation year that have not yet been claimed;
- Designates an amount contributed to his or her RRSP/PRPP as a repayment under the Home Buyers' Plan (HBP) or the Lifelong Learning Plan (LLP);
- Made an RRSP withdrawal under the HBP or the LLP.
Unclaimed RRSP Contributions
The amount of unclaimed RRSP/PRPP contributions made before March 2 of the current taxation year, (line 1) as well as the current year contributions (line 2 and line 3) are updated from Form RRSP, RRSP/PRPP/SPP Deduction Worksheet.
Designations of Repayments under the Home Buyers' Plan or the Lifelong
Learning Plan
The amounts designated as repayments under the HBP must be entered in the Home Buyers' Plan Withdrawal worksheet. These amounts will be updated to both the RRSP worksheet and line 6 of Schedule 7.
The amounts contributed to an RRSP and designated as a repayment under the LLP must be entered in the Lifelong Learning Plan worksheet. These amounts will be updated to both Form RRSP, RRSP/PRPP/SPP Deduction Worksheet and line 7 of Schedule 7.
Contributions based on your current taxation year’s RRSP deduction
limit
The amount entered on line 10 of Schedule 7 shows the current taxation year’s RRSP deduction limit calculated based on the data contained in Form RRSP, RRSP/PRPP/SPP Deduction Worksheet. This amount may be modified in Part 3 of the Form RRSP, RRSP/PRPP/SPP Deduction Worksheet, if applicable.
RRSP/PPRP/RPP Transfers
Line 14 of Schedule 7, which deals with RRSP/PRPP/RPP transfers, will be updated automatically from the information contained on Form RRSP/PRPP/RPP TRANS, Designation of Amounts Transferred to an RRSP/PRPP and/or an RPP .
Withdrawal for the current taxation year under the HBP and the LLP
The amounts withdrawn from an RRSP under the HBP come from box 27 of the T4RSP slip and are automatically posted to line 18 of Schedule 7. Under no circumstances may this amount exceed $35,000. (See the Home Buyers' Plan workchart.)
You must enter an "X" next to the question The address shown on page 1 of your return is the same as the address of the home that was purchased under the HBP that appears on the Home Buyers’ Plan form.
The amounts withdrawn from an RRSP under the LLP come from box 25 of the T4RSP slip and are automatically posted to line 20 of Schedule 7. Under no circumstances may this amount exceed $10,000. (See the Lifelong Learning Plan workchart.)
The taxpayer may designate his or her spouse as the LLP student. This designation can only be made the first year of the withdrawal under the LLP and is performed by entering an "X" in the appropriate box in the Lifelong Learning Plan worksheet.
Amateur athlete trust (ATT)
Qualifying performance income (generally endorsement income, prize money or income from public appearances received by an amateur athlete) contributed to an amateur athlete trust (AAT) after 2013, qualifies as earned income in determining the RRSP deduction contribution limit of the trust’s beneficiary. Enter this income on line 22 of Schedule 7 so that it is included in the calculation of earned income Form RRSP Earned Income Worksheet (Jump Code: RRSP EI)
See Also