My financial services co unlocked 50% from my LIF and put it into my existing RRSP. I received a T4RIF and RRSP receipt. How do I enter this properly in TurboTax Online?

[TurboTaxKim · Accepted solution]

When your LIF is transferred to an RRSP or RRIF you should have two tax slips - a T4RSP or a T4RIF showing a withdrawal amount, then a corresponding "Contribution Slip" (or receipt) showing the direct transfer which is exempt due to subparagraph 60(l)(v). Both these slips need to be reported on the tax return.

Report the T4RSP or T4RIF as income (Income > Tax Slips > choose the slip you have then proceed to that screen and enter the corresponding boxes) . The Total Income will reflect the amount of the transfer, but do not worry, this amount will be deducted in the next section to arrive at the Net Income.

Then enter the RRSP or RRIF receipt as an "RRSP Contribution" in the RRSP Profile section. You need to specify on the RRSP Contribution screen that this was a "designated transfer of on eligible income amount".

[cdemaray4]

When I entered my SDRSP Receipt as a "Designated Transfer of eligible income amount" in Schedule 7 it did not offset the T4RIF that was added to income.  Should the "Designated Transfer of eligible income amount"not show up in "Other Income Deductions and Credits" Line 232 to offset the T4RIF?  When I manually do this the T4RIF income is offset.  Should the Turbo Tax software not do this automatically?

[mwma2021]

I completer the LIF 50% unlocking to my RRSP on early January of this year. I got the transfer under paragraph 60(L)(V) receipt. However, the T4RIF will be coming in on 2022. How do I report, the 60(L)(V) receipt in the 2020 Tax return without the T4RIF?