122 – Payments from a pension plan, an RRSP, a RRIF, a DPSP or a PRPP/VRSP, or annuities
On line 122, enter the total of the following:
- payments you received from:
- a pension plan,
- a registered retirement savings plan (RRSP),
- a registered retirement income fund (RRIF), including a life income fund (LIF),
- a pooled registered pension plan (PRPP), including a voluntary retirement savings plan (VRSP),
- a deferred profit-sharing plan (DPSP);
- the Retirement Income Security Benefit (RISB) received under the federal Veterans Well-being Act;
- the Income Replacement Benefit (IRB) received under the federal Veterans Well-being Act for the months following the month in which the veteran turned (or would have turned) 65; and
- annuities you received.
- The amount on line 122 may entitle you to an amount for retirement income. See the instructions for line 361.
- If you were born before January 1, 1956, and had a spouse on December 31, 2020, you and your spouse (regardless of his or her age) can jointly decide to include up to 50% of your eligible retirement income for the year in the calculation of your spouse's income. See “Transfer of retirement income between spouses” below.
If you received payments from a pension plan, enter on line 122 the total of the amounts shown in box A of your RL-2 slip and in box D of your RL-16 slip.
Pension from a foreign country
Any pension you received from a foreign country must be included in your income. However, you can claim a deduction on line 297 of your income tax return if all or part of the pension is not taxable pursuant to a tax treaty or agreement concluded between the foreign country and Québec or Canada. You must report these amounts in Canadian dollars. To convert them, use the exchange rate in effect at the time you received them. You can use the average exchange rate for the year if the amounts were received over the entire year. To find out the exchange rate, consult the Bank of Canada website.
United States individual retirement account (IRA)
If, in 2020, you received payments from a United States individual retirement account (IRA) or converted an IRA into a Roth IRA, contact us.
Enter the amount from box B of your RL-2 slip if you received payments from a registered retirement savings plan (RRSP), a registered retirement income fund (RRIF) (including a life income fund [LIF]), a deferred profit-sharing plan (DPSP) or a pooled registered pension plan (PRPP) (including a voluntary retirement savings plan [VRSP]).
Amounts received from a RRIF or a PRPP/VRSP further to a death
If you received amounts from a RRIF or a PRPP/VRSP further to the death of your spouse or another person, enter the amount from box K of your RL-2 slip.
Recovery of a deduction for contributions to a spousal RRSP
If your spouse contributed to one of your RRSPs after 2017, he or she may have to include all or part of any payments you received from your registered retirement income fund (RRIF) in his or her income. Complete form TP-931.1-V, Amounts from a Spousal RRSP or RRIF, to calculate the amounts you and your spouse must each include in your income.
Annuities that constitute retirement income
If you received an income-averaging annuity or an ordinary annuity, enter the amount from box B of your RL-2 slip. In the “Provenance des revenus” box of the slip, income-averaging annuities are identified by the abbreviation “RE” and ordinary annuities by the abbreviation “RO.”
Income accrued under certain life insurance policies
You must report income accrued under certain life insurance policies or annuity contracts. This income is shown in box J of your RL-3 slip.
If you were born before January 1, 1956, and had a spouse on December 31, 2020, you and your spouse (regardless of his or her age) can jointly decide to include up to 50% of your eligible retirement income for the year in the calculation of your spouse's income. You can deduct the transferred amount on line 245 of your return, and your spouse must include the amount on line 123 of his or her return. You must also transfer the corresponding Québec income tax withheld from that income to your spouse. To make the transfer, you must complete Schedule Q and enclose it with your return.
If you received a Retirement Income Security Benefit (RISB) under the Veterans Well-being Act, contact us.
If you ceased to be resident in Canada in 2020, you must have been at least 65 years old on the day you ceased to be resident in order to transfer part of your retirement income to your spouse.
Eligible retirement income includes:
- the income reported on line 122; and
- the amount entered on line 154 (point 3) as life annuity payments under a retirement compensation arrangement, if certain conditions are met (contact us for more information).