My RRSP contrib room for 2020 year is 15,560. I mistake contrib 25,560. 10,000 in Sept 20 and 15,560 in January 21. Can use some of Jan 21 contrib for 21 tax year?

I forgot about the Sept 2020 contribution and then did the a full contribution amount again in January 2021. Can I not claim the additional $10,000 in 2020 tax year and rather claim it in 2021 tax year?

476

Level 6

Feb 4, 2021 7:38:55 AM

You'll need to report the entire amount of your RRSP contribution on your tax return, and TurboTax will automatically carry forward the amount in excess of your contribution limit to the following year. The Canada Revenue Agency allows you to overcontribute to your RRSP's one time in the amount of $2,000 without there being a penalty. You can claim the overcontribution on your income tax return next year.

Because your overcontribution exceeds the $2,000, (or if you have previously overcontributed $2,000 or more), you may be required to pay the 1% tax per month on the excess contributions, or you can choose to withdraw the excess.

Here's some information from the Canada Revenue Agency on what happens if you exceed your contribution limit: https://bit.ly/2HWYMU3

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My RRSP contrib room for 2020 year is 15,560. I mistake contrib 25,560. 10,000 in Sept 20 and 15,560 in January 21. Can use some of Jan 21 contrib for 21 tax year?