Hi, I have a client with form T4A-RCA (not a form I’ve seen often over the years). They have an amount in box 16 for distributions. The software gives the message that this amount may allow for a deduction on line 23200. I did find this information:

The amounts in boxes 14, 16 and 20 are included on line 13000 of the tax return and may provide entitlement to a deduction on line 23200.

Contributions made by an employee to an RCA are deductible if they respect the provisions of paragraph 8(1)(m.2).

This paragraph allows employees to claim contributions to a pension plan that is an RCA, if:

  • the employee was required to make contributions under the terms of his employment and the total amounts contributed for the year does not exceed the total contributions made by the employer (or any other person) on behalf of the employee;
  • the contribution was made to a plan that was a registered retirement plan for which registration has been revoked and the contributions was made according to the terms of the plan.

And I’ve asked the client about the first bullet point in there. I don’t think the registration of the RPP was revoked so that is why I didn’t ask them about that one. But if they qualify under the first bullet would I claim the full box 16 amount as a deduction?