The Canada T1 OVP E is the annual return used to calculate and pay the 1% monthly tax on excess RRSP contributions. The Canada Revenue Agency (CRA) requires this filing from any taxpayer whose RRSP contributions exceeded their deduction limit for the year. The form covers contributions from the current tax year as well as carry-forward amounts from prior years, including those made before 1991.
You must file the T1 OVP E if your cumulative RRSP contributions exceed your available deduction room by more than $2,000. The CRA allows a lifetime buffer of $2,000 in over-contributions without penalty. Any amount above that threshold is subject to the 1% monthly tax for each month it remains in the plan.
The T1 OVP E return is due by March 31 of the year following the tax year of the over-contribution. Filing late results in a 5% late-filing penalty on the unpaid balance, plus 1% for each complete month the return is overdue, up to 12 months. The CRA also charges daily compound interest on any unpaid balance.
Taxpayers managing registered plan transfers may also need the Canada Form T2220 E for RRSP-to-RRSP transfers. Businesses filing corporate income taxes should see the Canada T2 Tax Form.
| Question | Answer |
|---|---|
| Form Name | Canada Form T1 OVP E |
| Form Length | 4 pages |
| Fillable? | No |
| Fillable fields | 0 |
| Avg. time to fill out | 1 min |
| Other names | T1 OVP, T1OVP, t1 ovp 2019 fillable, t1 ovp 2019, t1 ovp 2019 simplified, gc form |