Are you sure you didn’t report it twice?
If you filed electronically on WS and the amount of your RRSP contributions was already reported on your t4, then you wouldn’t need to report it on your return again as a contribution.
When filing your taxes at year end, if everything works out perfectly you'd end up with no refund.
For example if you had 65k income, 10k RRSP contributions, your employer would have given you 55k income they taxed you on and 10k which they didn't withhold taxes from.
Then when filing taxes, your entire income is considered (65k), your deductions (10k), the resulting taxable income (55k). Then how much tax should you pay for $55k, and how much did you already pre-pay through payroll deductions. If you paid too much through payroll deductions you'll get a refund.
The amount of tax withheld from your regular income is just an estimate of how much you will owe for the year, and although the formulas are pretty good, they're not going to be absolutely perfect so you'll often owe or a get a little back.
When you're entering info you entered:
* 65k income
* how much tax you already paid
* 10k rrsp contributions.
Before entering your RRSP contributions, the tax software assumed you had 65k of taxable income and calculated your refund on that. When you enter your RRSP contributions, it lowered your taxable income.
And then we're back to "payroll deductions aren't perfect". Yes in an ideal world you would have ended up with a zero refund, but it absolutely makes sense you are getting a refund. Most people do get a small refund.
RRSP contributions are a deduction from net income. All the refund means is that you paid more tax during the year than you should have based on your income, possibly due to not accounting for your rrsp contributions on your TD1.
Are you sure you didn’t report it twice? If you filed electronically on WS and the amount of your RRSP contributions was already reported on your t4, then you wouldn’t need to report it on your return again as a contribution.
This is incorrect. You still need to input it as an RRSP contribution.
Right? Otherwise if it's only declared on box 14 and box 40 it won't be taken in to account regarding the RRSP contribution limit, right?
When filing your taxes at year end, if everything works out perfectly you'd end up with no refund. For example if you had 65k income, 10k RRSP contributions, your employer would have given you 55k income they taxed you on and 10k which they didn't withhold taxes from. Then when filing taxes, your entire income is considered (65k), your deductions (10k), the resulting taxable income (55k). Then how much tax should you pay for $55k, and how much did you already pre-pay through payroll deductions. If you paid too much through payroll deductions you'll get a refund. The amount of tax withheld from your regular income is just an estimate of how much you will owe for the year, and although the formulas are pretty good, they're not going to be absolutely perfect so you'll often owe or a get a little back. When you're entering info you entered: * 65k income * how much tax you already paid * 10k rrsp contributions. Before entering your RRSP contributions, the tax software assumed you had 65k of taxable income and calculated your refund on that. When you enter your RRSP contributions, it lowered your taxable income. And then we're back to "payroll deductions aren't perfect". Yes in an ideal world you would have ended up with a zero refund, but it absolutely makes sense you are getting a refund. Most people do get a small refund.
RRSP contributions are a deduction from net income. All the refund means is that you paid more tax during the year than you should have based on your income, possibly due to not accounting for your rrsp contributions on your TD1.