Fill Out Form T1032 Online in 2025

Easily share pension income between you and your spouse
Get Form
Great stars

Get your Form T1032

  • fast pdf converter

    1. Open the form

    Access the pre-loaded form directly in our PDF editor. No need to upload anything!
  • secure pdf

    2. Fill in your details

    Carefully complete all required fields to ensure accuracy and validity.
  • powerful editor

    3. Download as PDF

    Save your filled-out form in PDF format, ready for submission or other needs.

What is Form T1032?

Form T1032, Joint Election to Split Pension Income, is an essential document for couples in Canada looking to manage their tax obligations effectively. This form allows spouses or common-law partners to divide eligible pension income, which can lead to lower overall family taxes by shifting income from the higher-income spouse to the lower-income spouse. To benefit from this option, both partners must fill out and sign the form, submitting it alongside their tax returns by the specified deadline. This process enables couples to allocate up to 50% of their eligible pension income, enhancing their financial situation.

What is Form T1032 used for?

Form T1032 is important for couples with pension income. Here’s what it does:

  • Joint Election: Lets partners choose how much pension income to share for tax calculations.
  • Tax Reduction: Aims to lower the overall tax burden by splitting income.
  • Reporting: Each spouse must report their share on their tax returns, with specific lines for the transferred and deducted amounts.

How to fill out Form T1032?

fill pdf form
  1. 1

    Complete Form T1032 with identical information for both spouses or common-law partners.

  2. 2

    Decide whose eligible pension income will be split and who will receive it.

  3. 3

    Allocate up to 50% of the eligible pension income to the receiving spouse or common-law partner.

  4. 4

    Ensure consistency between the form and both partners' tax returns.

  5. 5

    File the completed form by the personal income tax return filing due date.

Who is required to fill out Form T1032?

The groups responsible for completing Form T1032 are the transferring spouse or common-law partner and the receiving spouse or common-law partner. Both must fill out the form together to ensure a valid joint election to split their eligible pension income.

After completing Form T1032, the couple can allocate up to 50% of their eligible pension income to the lower-income spouse or common-law partner, potentially reducing their tax payable.

When is Form T1032 not required?

Form T1032 isn't required for Quebec taxpayers under 65 for provincial income tax purposes. Additionally, if you receive pension payments from the Canada Pension Plan (CPP) or Old Age Security (OAS), you don't need to complete a joint election since these types of income aren't eligible for pension splitting.

When is Form T1032 due?

The deadline for Form T1032 is April 30 of the year following the tax year. If you or your spouse is self-employed, the due date extends to June 15. Make sure to complete, sign, and attach this form to both partners' paper tax returns. If you filing the form online, make sure to keep the copy, in case the CRA asks for it later.

How to get a blank Form T1032?

To get a blank Form T1032, simply visit our website. The form is issued by the Canada Revenue Agency (CRA) and is pre-loaded in our editor, ready for you to fill out. Remember, our platform aids in filling and downloading, but not in filing forms.

How to sign Form T1032 online?

To sign Form T1032, Joint Election to Split Pension Income, you can choose between a handwritten signature or an electronic signature. The Canada Revenue Agency (CRA) accepts electronic signatures if identity verification is completed securely. PDF Guru allows you to fill out the form and create a simple electronic signature if needed, but remember it does not support form submission. Always check for the latest updates from the CRA before finalizing your submission.

Where to file Form T1032?

To submit Form T1032, Joint Election to Split Pension Income, send it to the Canada Revenue Agency (CRA). You can file it by mail or electronically.

If you file electronically, keep a copy of the form. For paper submissions, attach it to both your and your spouse's return, ensuring both signatures are present.

Trusted and certified by industry leaders

PDF Guru certified by dmca, google safe browsing, pdf association, norton, CCPA, ssl encryption, PCI, GDPR

Frequently asked questions

  • Who can benefit from pension income splitting?

    You and your spouse or common-law partner can benefit from pension income splitting if you are both Canadian residents, living together at the end of the tax year, and remaining together for at least 90 days at the beginning of the next tax year. It is particularly beneficial if one of you is in a higher marginal tax bracket than the other.

  • How do I determine if my pension income is eligible for splitting?

    Eligible pension income typically includes income from registered company pension plans, such as defined benefit or defined contribution plans, for individuals under age 65. For those 55 or older, this includes most types of registered pension plans. However, government pensions like the Canada Pension Plan (CPP) or Quebec Pension Plan (QPP) do not qualify for splitting under the pension income tax credit rules, though they can be split under separate sharing rules.

  • Do I need to transfer funds to split my pension income?

    No, you do not need to transfer any funds to split your pension income. The election is notional, meaning it only affects how your income is reported on your tax returns. The eligible pension income continues to be paid directly to the pensioner, but the tax implications are adjusted based on the joint election made on Form T1032.

What users are saying about our online tool

Great stars
Based on 11617 reviews
trustpilot logo

We use cookies to ensure you get the best experience on our website. By clicking "Consent Mode", you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts.