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Five years ago, Jack Jones commenced making contributions to a spousal RRSP plan for his wife, Jena. Jack has made a $6,500 contribution to the
Five years ago, Jack Jones commenced making contributions to a spousal RRSP plan for his wife, Jena. Jack has made a $6,500 contribution to the spousal RRSP plan on June 1 for the past five years, including the current year. In the current year, Jack and Jena needed cash for home renovations and Jena redeemed $23,500 from her spousal RRSP plan. Which of the following statements is correct in regard to the taxation of the $23,500 in the current year? Choose the correct answer. A. $4,000 is included in Jack's Net Income and $19,500 in Jena's Net income. B. $23,500 is included in Jack's Net Income and $0 in Jena's Net Income. C. $19,500 is included in Jack's Net income and $4,000 in Jena's Net Income. D. $0 is included in Jack's income and $23,500 in Jena's Net Income
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