2021 pension buyback 1 cropped 2_Redacted.pdf (315.6 KB)
Should there not be a T4A issued by employer with amount contributed in box 32 ?
Never had just this paper statement before.
Nothing related on client’s CRA account.
Pension buyback is more often than not reported on a T4 (box 20) or T4A (box 32). Sometimes, however, the plan administrator simply issues a tax receipt for the contributions. It seems in your case that is what has happened. Presumably the plan administrator (PWGSC) has already confirmed the buyback was purchased in cash and not with other tax sheltered funds, and has appropriately issued the tax receipt that you have shown.
In your case the amount gets entered on line 1c in Area A of the “Registered Pension Plan (RPP)Worksheet” in TaxCycle. That amount will automatically flow to line 20700.
Thank you @snoplowguy.
The client does have an amount in box 20 of his 2021 return.
of over $7200, presumably from payroll in 2021.
I’ll ask him to verify with employer if the amount above is not already included in that box, although the tax receipt seems to indicate he did contribute the $6259 on top of the $7200.