Chelimaria Posted April 5, 2022 Report Share Posted April 5, 2022 I am just doing my parents taxes and my dad who is now retired is receiving a good size refund. He receives CPP & OAS and a small pension from work. We have asked to get taxes deducted off his CPP & his pension and the refund he is receiving seems to be pretty close to what we have deducted in taxes off the CPP and pension payments, does this seem normal? I guess it depends on how much they make and what tax bracket they are in, right? Do most people who retire get taxes deducted off their CPP? It just seems odd that what was deducted in taxes is essentially what his refund is. Does this mean that if we stop the deduction of taxes he would be ok. Quote Link to comment Share on other sites More sharing options...
Curmudgeon Posted April 5, 2022 Report Share Posted April 5, 2022 It sounds like his net income is below the tax threshold. If that is so, then yes reduce or eliminate what tax you can on CPP and OAS. Quote Link to comment Share on other sites More sharing options...
Chelimaria Posted April 5, 2022 Author Report Share Posted April 5, 2022 Thank you Quote Link to comment Share on other sites More sharing options...
RaphaelJarvis Posted January 22, 2023 Report Share Posted January 22, 2023 Hey there. As far as I know, most people who retire do have taxes deducted from their CPP. Still, it's always a good idea to double check with a retirement calculator to see what the best option for your dad would be. The amount of taxes deducted depends on how much income your dad receives and what tax bracket he falls into. If you stop the deduction of taxes, it could potentially result in a larger refund or a smaller monthly income, so it's worth looking into. Good luck, and keep us updated. Quote Link to comment Share on other sites More sharing options...
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