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March 11, 2023
Question

In my income summary I see an amount has been added for pension income. I haven't entered any pension income, only a single T4. Why is that there?

  • March 11, 2023
  • 1 reply
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    1 reply

    March 13, 2023

    The pension adjustment (PA) amount is the value of the benefits you earned in 2022 under your employer's registered pension plans (RPP) and deferred profit sharing plans (DPSP), and possibly some unregistered retirement plans or arrangements. The amount is shown in box 52 of your T4 slip or box 034 of your T4A slip.

     

    Pension income can come from sources other than a separate pension plan. For example, if you received retirement benefits from the Canada Pension Plan (CPP), Old Age Security (OAS), or other government programs, these amounts may be reported as pension income on your tax return.

    It's also possible that the pension income amount was entered automatically by TurboTax based on the information provided in your T4 slip. Some T4 slips include an amount for a Registered Pension Plan (RPP) or a Deferred Profit Sharing Plan (DPSP), which would be considered pension income for tax purposes.

     

    For more information, refer to the Canada Revenue Agency (CRA): Line 20600 – Pension adjustment

     

    If further assistance assistance is required, we believe your best option is to contact our telephone support as they have the option to view your screen and help you with this. To contact them, please follow this link: Contact Us

     

    Thank you for choosing TurboTax.

    chankAuthor
    March 18, 2023

    The issue was due to the fact that my wife started to receive some pension last year and TT wanted me to try out pension income splitting. I then wanted to try something else and removed her pension receipts from TT, but the income from the splitting analysis was still associated with my income. I know there is a note to say that to rerun the pension income splitting exercise if you make a change, but I would have assumed that had I removed the pension income altogether that it would have reset all income from the first pension splitting run.