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Jagdish Patel would like to know how much of his unused RRSP deduction room will carry forward to the next taxation year. Assume the federal
Jagdish Patel would like to know how much of his unused RRSP deduction room will carry forward to the next taxation year. Assume the federal government's annual RRSP limit for the current year is set at $ Jagdish provides you with the following information:
Unused RRSP Deduction Room at December of the prior year $
Prior year Earned Income $
Current year Earned Income $
RRSP contribution made to his own selfadministered RRSP plan during the current year $
Jagdish does not have an employer provided pension plan, so his pension adjustment in the prior year and current year is zero.
Jagdish takes the maximum RRSP deduction on his current year's tax return. What is Jagdish Patel's unused RRSP deduction room at the end of the current taxation year?
A
$
A is the answer, but why? Please show calculation.
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