RRSP Spousal Rollover at Death — Move a Deceased Spouse’s RRSP Without Immediate Tax
What Is It?
A surviving spouse or common-law partner can often move RRSP proceeds into their own RRSP, RRIF, PRPP, or annuity instead of triggering immediate tax on the deceased’s final return.
Do I Qualify?
- You were the deceased annuitant’s spouse or common-law partner at the time of death
- You received, or are considered to have received, an eligible RRSP amount after the death
- The transfer is made to your own registered plan or qualifying annuity within the allowed rules
- You and the estate have the tax slips and can report the designation properly
How To Use It
- Confirm who was named as beneficiary and what amount was paid or deemed paid after death.
- Ask the RRSP issuer and the estate’s tax preparer to identify the eligible rollover amount.
- Transfer the amount to your RRSP, RRIF, PRPP, SPP, or qualifying annuity using the CRA rules.
- Keep the slips and elections so the deceased return and your return line up properly.
What Most People Don’t Know
- This is often missed when the estate simply cashes out the RRSP without planning the reporting.
- The tax result depends on both who got the money and how the transfer is reported.
- A direct transfer is cleaner, but indirect payments can sometimes still qualify if handled properly.
Frequently Asked Questions
Is this automatic?
A: No. The tax deferral depends on beneficiary setup, transfers, and correct reporting.
What documents help most?
A: The RRSP slip, estate documents, beneficiary designation, and transfer paperwork matter most.
Where do I start?
A: Start with the RRSP issuer and the estate’s tax preparer before any payout is spent or reinvested incorrectly.
What is the biggest trap?
A: The biggest trap is assuming every spouse automatically gets tax deferral without the right transfer or reporting.