How do I split my spouse or common-law partner’s pension income if they recently passed away?

If your spouse/partner has passed away, you must complete each of your returns separately. Prepare their return first by following the steps below. You’ll need to input information from any tax-related slips and receipts you each received for the tax year.

Prepare your deceased spouse/partner's return

1. Start a new return and at Which of these applied to you in 202X, select the appropriate boxes, including This return is for a deceased person, then select Continue.
2. At Who are you preparing this return for? select My spouse/partner.
3. At What’s your spouse/partner’s name? enter the name, ensure the check box is checked, and enter the date of death (DoD).
4. At Filing for someone who has passed away select the decedent, and then Continue. Note that the return must be printed and mailed to the CRA.
5. At What was your marital status on December 31, 2023?
   • Select Widowed unless you have re-married.
   • Provide an answer to Did your spouse/partner pass away in 2023? and if yes,
   • Provide the spouse/partner's DoD.
   • Select your marital status before the DoD.
6. Complete the steps for the personal information profile.
7. Complete the steps for the tax profile: What happened to you in 2023?
   • Any reference to split income is not referring to pension income splitting. 
   • At Did you withdraw money from a retirement account or a first home savings account, or receive retirement-type income, such as a pension or annuity? select Yes and then check the applicable boxes.
   • At Do you want to split eligible pension income with a spouse or common-law partner (if applicable)? select Yes.
   • Select Continue and complete the tax profile section.
8. Proceed to input all applicable income, deduction, and tax credit information.
9. At Pension Splitting:
   • Select whose pension you’d like to split and then enter the pension splitting amount, up to the maximum amount indicated.
   • Select Continue.
   • You've now completed the split pension election on your spouse/partner’s return.

Prepare the return for yourself

1. Start a new return for yourself.
2. At Who are you preparing this return for? select Myself.
3. At What was your marital status on December 31, 202X?
   • Select Widowed unless you have re-married.
   • Provide an answer to Did your spouse/partner pass away in 2023? and if yes,
   • Provide the spouse/partner's DoD.
   • Select your marital status before the DoD.
4. Complete the steps for the personal information profile.
5. Complete the steps for the tax profile: What happened to you in 202X?:
   • Any a reference to split income is not referring to pension income splitting. 
   • At Did you withdraw money from a retirement account or a first home savings account, or receive retirement-type income, such as a pension or annuity? select Yes and the check the applicable boxes.
   • At Do you want to split eligible pension income with a spouse or common-law partner (if applicable)? select Yes.
   • Select Continue and complete the tax profile section.
6. Proceed to input all applicable income, deduction, and tax credit information.
7. At Pension Splitting, to split your deceased spouse/partner's pension income:
   • Select whose pension you’d like to split.
   • Complete the form. For information about lines 68020 and 68040 of his or her T1032 form, see T1032 Joint Election to Split Pension Income.
   • Select Continue.
8. At Here's your income summary, Pension income, you'll see the amount of pension income transferred to you.
9. At the side navigation panel, select Review > Bottom Line. The amount at Subtract payments and credits from taxes includes your spouse/partner's income tax deducted at source that is transferred to you.

If your spouse/partner has passed away, you must complete each of your returns separately. Prepare their return first by following the steps below. You’ll need to input information from any tax-related slips and receipts you each received for the tax year.

Note: In TurboTax, any reference to split income doesn't apply to pension income splitting. 

1. Start a new EasyStep return and proceed through the Introduction section.
2. At What’s your marital status? On December 31 you were: select Married or Living Common Law as applicable, on the day your spouse/partner passed away.
3. At Do you want to prepare your returns together? select No.
4. At Are you preparing this return for someone who passed away? select Yes, then select Continue. You're now completing your spouse/partner’s final return.
5. On the Personal information screen, fill out your spouse/partner’s details, including the date of their passing.
6. At Information for your spouse/partner, fill out your details. You'll be asked for some information from your income tax return. Then select Continue.
7. At Marital status changes select Yes.
8. At Changes in Marital Status:
   • Select Widowed.
   • At Details of changes in marital status in 2023 enter the date of death.
   • Complete the remainder of the Profile section and then proceed with the Profile section for your deceased spouse/partner.
9. At What happened for you in 2023?, at did you receive pension, retirement-type income:
   • Select Yes.
   • Check the boxes for all applicable pension income slips.
   • At Do you want to split eligible pension income with a spouse or common-law partner (if applicable)? select Yes.
   • Complete the remainder of the tax profile section.
10. Input all income, deduction, and tax credit information until you arrive at Pension Splitting.
11. Select the name of the person whose pension income you wish to split, fill out all other boxes, and select Continue.
12. Complete the next Pension Splitting screen. For information about lines 68020 and 68040 of his or her T1032 form, see T1032 Joint Election to Split Pension Income.
13. Select Continue. You've now completed the split pension election on your spouse/partner’s return.
14. Save your spouse/partner’s return to resume its progress later.
15. To elect for the pension split on your return, first start a new return.
16. On the What’s your marital status? screen, select Widowed, then Continue.
17. Input your personal information, including Changes in Marital Status, and income information until you arrive at Pension Splitting. If you arrive at Total income summary without having done pension splitting, select Enter any additional income slips and receipts, enter split in the search box, select Split pension with your spouse and select Go.
18. At Pension Splitting, complete the form, select Continue, and complete the second form. (The amount from box 68040 of the transferee's T1032 is generally the amount of income tax deducted at source from their pension income.) Select Continue.
19. At Total income summary you'll see the pension income amount transferred to you.