Splitting Pension Income?

[rdmoravec]

According to CRA, pension income splitting is allowed in the year of death of one of the spouses, but your system insists on separating the returns.  Also, a Disability Tax credit can be transferred to surviving spouse if deceased spouse does not use the complete credit.

[TurboTax-Terry · Accepted solution]

In the preparation of the tax returns with Turbo Tax they will need to be prepared independently of each other. However as you point out the can still be amounts shared and transferred between the tax returns.

The deceased marital status will be married (with date of death provided) and the Surviving spouse will be Widow(er) with the date of change in marital status provided. 

You will then need to update the spouses information in each tax return as you work on them separately. You can use the "Return Manager" found in the "Tools" option in the top right corner of the software window to help with this process.