I am filing taxes as non-resident under Section 216. I paid tax on pension withdrawal, and have no net income from rental. By claiming CCA on rental, do I get a refund?

[namor]

As a non-resident of Canada, I'm in the process of filing my income tax return under Section 216, considering my income from rental property within Canada. Last year, I withdrew $12,000 CAD from my registered pension plan, with a 25% withholding tax deduction by the financial institution. Despite my rental property yielding a net zero income due to various expenses such as higher interest, insurance, and maintenance costs, I've already paid over a thousand in withholding tax throughout the year under the RT6 application, based on my estimated net income.

Moreover, upon claiming Capital Cost Allowance (CCA) on my rental property, I'm entitled to a refund of $2,300 CAD. From my understanding, this refund offsets the taxes deducted, including the 25% withholding tax from the pension withdrawal.

Could you kindly confirm whether TurboTax is accurately reflecting these adjustments, ensuring that I'm indeed able to reduce my tax payment by claiming CCA on my rental property? Your assistance is greatly appreciated.

Thank you in advance.

[TurboTaxSusan]

You can't use CCA to create or increase a rental loss, so you shouldn't be able to claim CCA if you had zero rental income. I can't see your return, so I don't know why it's letting you do it, so I would recommend contacting our phone support team at 1-888-829-8608 for further assistance.