Transfer Under 60L lump sum

T1
1

I have a client that has received a lump sum payment in 2020, a portion was a direct transfer and was issued a 60J for the Feb of 2020.
Was the 60J supposed to be reported on the 2019 taxes then used on the 2020 taxes? Or if i is a transfer it needs to match the T4A lump sum.

Thanks for your help in advance

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What is a 60J ?

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“Assuming the eligible portion is transferred directly to the employee’s RRSP, the employer is not required to withhold any tax at source. An RRSP contribution slip – sometimes referred to as a 60(j. 1) receipt – would then be issued to the employee to claim an offsetting deduction on his or her return .”
from Google

4

Oh, ok. 60J meaning ITA section 60. Thanks @obhorst

@insitetax - Yes, the RRSP contribution must be reported on their 2019 T1. If it wasn’t needed, or wanted, as a deduction that year, it could be carried forward. But, also prudent to check the client’s RRSP deduction limit, to ensure there was no over-contribution (which may then require a T1-OVP). Presumably, between your client and the payor, they should have checked the contribution limit before making the transfer, but best to check.