Home Buyers' Plan (HBP) - Repayment with unused
RRSP contributions made in the first 60 days of the current tax
year
You wish to designate unused RRSP contributions made
during the first 60 days of the tax year as repayment for your Home
Buyers' Plan (HBP), which is authorized by the CRA. You also
contributed to your RRSP during the rest of the tax year.
However, the program allows only the entry of
the total balance of unused contributions as indicated on your
Notice of Assessment for 2018.
Moreover, federal Schedule 7 contains no line to
indicate the unused contributions made in the first 60 days of the
tax year that you wish to designate as a repayment under the
HBP.
There is, however, a satisfactory workaround. To do
so, please enter your information as per the following steps:
1. On the "Left-side menu on the Interview
tab", select "RRSP contributions, limits".
2. On the new page displayed on your right, in the
"Your RRSP/PRPP deduction limit statement" section, enter
the "RRSP deduction limit for 2019 (2018 assessment)".
3. Also on the same page, for "Unused RRSP/PRPP
contributions (2018 assessment)", answer the first
question.
4. If you answered "Yes", go to the line
"Unused contributions from the first 60 days of 2019" and
enter the amount that was unused.
5. If you have unused contribution from previous
years, enter the amount on the line entitled "Unused
contributions from prior years (excluding the first 60 days of
2019)", enter the amount.
Warning: The total of your unused
contributions (the first 60 of 2019 and those of
previous years) must be equal to the amount indicated on your
lasted 2018 Notice of assessment
6. In the "Contributions to your own RRSP or
PRPP/VRSP" section, go to the line "March to December
2019", enter the amount of your contribution, and if you
contributed in the first 60 days of 2020, enter the
amount on the next line.
7. If necessary, click "+ Add Another" located
to the right and enter your RRSP contributions.
8. In the "RRSP or PRPP/VRSP deduction to use in
2019" section, go to the line "RRSP or PRPP/VRSP deduction
to use (leave blank to use all your contributions)", enter the
amount of contribution that you wish to deduct this year, or leave
blank to use all your contributions. Click "Next" at the
bottom of the page.
9. Return to the "Left-side menu on the Interview
tab" and select "HBP, LLP and other plans and
funds".
10. On the screen to the right, click the
plus sign "+" icon to the right of the
line "HBP Participation in a RRSP's home buyers' plan".
11. On the page entitled "Home Buyers' Plan
(HBP)", on the line for "RRSP home buyers' plan repayable
balance at start of 2019", enter the amount, and at the line
"HBP amount that should be repaid in 2019 (on HBP
statement from CRA)", enter the amount on the notice that you
received. Then, enter your repayment amount on the line for
"Amount of RRSP contributions designated as your 2019 HBP
repayment".
The program will carry over your HBP repayment amount
to line 24600 of federal Schedule 7.
For residents of Quebec, the amount of your HBP refund
will be entered on line 212 of the Quebec return.
ID: 20200115110614DE.xml
Webpage: KPA385-20200115110614DE.htm
