Can I choose to have more than the designated tax withheld when making a RSP withdrawal?
Yes, you can elect to have more than the designated amount of withholding tax kept back when making an RSP withdrawal. For example, an Ontario Resident making a withdrawal of $4,000 could choose to have 20% withdrawn instead of the 10% required by the Canada Revenue Agency (CRA). Interest earned is also subject to withholding taxes if transferred outside of an RSP product.
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