Turbotax: Schedule 7 & HBP worksheet


Q: How does one access Statement of Accounts - Home buyer's plan? A: As shown in the video...

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Relevant Material: Schedule 7 is a mandatory Canada Revenue Agency (CRA) form used to track and report all Registered Retirement Savings Plan (RRSP), Pooled Registered Pension Plan (PRPP), and Specified Pension Plan (SPP) activities, which includes all Home Buyers' Plan (HBP) transactions. There is no separate "Home Buyers Plan Worksheet" for the purpose of filing your taxes with the CRA; all HBP information is consolidated within Schedule 7. 

CRA Significance of Schedule 7
The CRA uses Schedule 7, titled "RRSP, PRPP, and SPP Contributions and Transfers, and HBP and LLP Activities", to ensure correct tax reporting and to maintain an accurate HBP balance for participants. Filing this schedule is mandatory every tax year until your HBP balance is fully repaid or included as income. 
  • Tracking Withdrawals: When you initially withdraw funds from your RRSP under the HBP (using Form T1036), this withdrawal amount is reported on Schedule 7.
  • Designating Repayments: The key function of Schedule 7 for existing HBP participants is to designate which portion of your total annual RRSP contributions is an HBP repayment versus a regular, tax-deductible contribution.
  • Avoiding Taxable Income: If you do not designate an RRSP contribution as a repayment on Schedule 7, or if you make less than the minimum required annual repayment, the difference is added to your taxable income for that year (line 12900 on your T1 General).
  • Maintaining Records: The CRA uses the information on Schedule 7 to update your HBP Statement of Account, which is sent to you annually with your Notice of Assessment. This statement shows your total withdrawals, total repayments, remaining balance, and minimum required repayment for the next year. 
Summary of the Forms
Feature Schedule 7 (Form 5000-S7)HBP Worksheet/Statement
PurposeAn official tax form to report all RRSP/HBP activity to the CRA.A personal tracking tool or the annual "Statement of Account" provided by the CRA to track your balance and minimum payments.
FilingMust be filled out and attached to your annual T1 Income Tax and Benefit Return.Not a tax form; not submitted to the CRA. It's for personal reference.
ActionabilityDesignates contributions as HBP repayments to ensure they are not claimed as tax deductions.Helps you determine the correct minimum repayment amount to report on Schedule 7.
For detailed information on managing your HBP, refer directly to the CRA's official HBP guide. ..(Google)
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