John Smith

Thanks HMRC Admin. Would you be able to point me to any documentation that states that tax liability would only occur on withdrawal from the RRSP? Is there no tax liability on income generated in the account because the account is recognized as a foreign pension? I am curious how a similar scenario would be treated with other registered Canadian accounts, such as for Tax Free Savings Accounts (TFSA) and First Home Savings Accounts (FHSA). Would these accounts only produce a tax liability upon withdrawal of funds as well?

Thank you for the response HMRC Admin. I was aware of the CRA withholding tax on non-resident withdrawals, as well as the fact that there is no tax credit offered by HMRC due to the difference in tax events defined at https://www.gov.uk/hmrc-internal-manuals/double-taxation-relief/dt4617. However, what I am actually asking is whether any capital gains and dividends generated inside the RRSP will be subject to UK income tax and need to be reported. In Canada that income is not taxable, since it is a tax-free account. Note that I am talking about the income generated before retirement and before withdrawal of any funds. There is no withdrawal of funds from the account in this scenario. Any dividends will be reinvested within the account for many years before withdrawal. Any proceeds from the disposition of assets will be used to buy other assets within the account and held for many years before withdrawal.

Hello HMRC Admin, I have a question related to the UK tax treatment of a Canadian Registered Retirement Savings Plan (RRSP). In this scenario I am a UK Resident for income tax purposes, domiciled in Canada but a Canadian Non-Resident. I will be taxed on the Arising Basis. My question is: Do the capital gains, dividends, etc. that are generated inside a Canadian RRSP need to be reported as foreign income in a self-assessment? In Canada the income generated is not subject to taxation so no income tax return is filed with the Canada Revenue Agency. As an extension to the question: How would income generated in a Tax Free Savings Account (TFSA) or First Home Savings Account (FHSA) be treated? Are these types of accounts viewed as non-registered accounts where capital gains and dividends are reported as foreign income?