I don’t know how to answer “box 18 a payment from SPP or a money purchase RPP?” On my T4A, how do I figure that out?

Forum|Forum|11 months ago
April 25, 2025
1 reply
0 views

I have my T4A from Investors Group Trust Co Ltd and box 18 has $1k in it, but as I’m filling my taxes there’s that one question that I’m asking about that I just don’t understand, I’m very new and I’m not knowledgeable on this so any help would be greatly appreciated.

mirvine1

Hi @sallisoningram
Thanks for your question. Box 18 on a T4A slip can indicate a payment from either a Specified Pension Plan (SPP) or a money purchase Registered Pension Plan (RPP), or other types of pension payments. It represents the amount of pension income that is taxable and should be reported on your tax return.

Specifically, Box 18 on the T4A slip reports:

Taxable lump-sum payments from SPPs or RPPs:
This includes payments received upon retirement, death, or termination of employment, among other reasons.
Excess transfers:
If you transfer an RPP lump-sum payment to your RRSP, PRPP, or SPP that exceeds the permitted transfer amount, the excess will be reported in Box 18 and considered taxable.
Other single payments from pension plans:
This includes single payments from RPPs, DPSP, or any other pension plan that are not required to be reported elsewhere

In summary, if you receive a T4A slip with a payment in Box 18, you should report it on line 13000 of your income tax and benefit return, as it represents pension income that is subject to tax.