What can I do if I was issued slips incorrectly and the issuer doesn't cancel/reverse them?

[ll91500]

I unlocked 50% of my LIF and transferred it directly into a RRIF. I was issued a T4RIF slip and a 60 (L) receipt which is wrong on a direct transfer. It's as if was a LIF to RRSP transfer. Is the only recourse to have the issuer cancel the slips, or, another way I can completely offset the total amount on the T4RIF? What if the issuer won't cancel the slips and Revenue Canada has them on file?

[TurboTaxKim · Accepted solution]

You should not need to have these slips cancelled or amended, as this is how a transferred is reported on your tax return. It may seem odd that the transfer is actually reported to you on an RRSP Contribution Slip, but this slip is needed to offset the income from the T4RIF. 

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".