Withdraw $30,000 from your RRSP in 2026 and CRA withholds $9,000 immediately (30%) — or $8,700 (29%) if you're in Quebec. Your final tax bill depends on your marginal rate (other income + province).
Withheld at source (outside Quebec)
$9,000
30% of $30,000 — you receive $21,000 cash
Withheld at source (Quebec)
$8,700
29% combined fed + QC — you receive $21,300 cash
CRA Withholding Tiers (why 30%?)
Withdrawal amount
Outside Quebec
Quebec (fed + prov)
Up to $5,000
10%
19% (5% + 14%)
$5,001 – $15,000
20%
24% (10% + 14%)
Over $15,000
30%
29% (15% + 14%)
Source: CRA S3-F10-C3 and Regulation 103. Withholding is a prepayment — your final tax is your marginal rate, reconciled on your T1.
Per-Province Final Tax (if RRSP is your only income for 2026)
Pure withdrawal scenario — e.g. retiree with no employment or CPP/OAS yet. Assumes 2026 basic personal amount (BPA) shelters the first ~$16,452 federally.
Province
Withheld
Actual tax
Effective rate
Refund / (Owing)
Net in hand
Ontario
$9,000
$3,056
10.2%
$5,944.22
$26,944
British Columbia
$9,000
$2,304
7.7%
$6,695.67
$27,696
Alberta
$9,000
$2,475
8.3%
$6,524.80
$27,525
Quebec
$8,700
$3,130
10.4%
$5,569.52
$26,870
Manitoba
$9,000
$3,432
11.4%
$5,567.52
$26,568
Saskatchewan
$9,000
$2,907
9.7%
$6,093.29
$27,093
Nova Scotia
$9,000
$3,485
11.6%
$5,515.10
$26,515
New Brunswick
$9,000
$3,432
11.4%
$5,567.70
$26,568
Newfoundland and Labrador
$9,000
$3,368
11.2%
$5,632.46
$26,632
Prince Edward Island
$9,000
$3,322
11.1%
$5,678.28
$26,678
Northwest Territories
$9,000
$2,593
8.6%
$6,406.96
$27,407
Yukon
$9,000
$2,764
9.2%
$6,236.21
$27,236
Nunavut
$9,000
$2,310
7.7%
$6,689.64
$27,690
With Other Income (Ontario 2026)
What a $30,000 withdrawal actually costs when stacked on top of your existing income. Effective rate rises as your marginal rate climbs.
How much tax do you pay on a $30,000 RRSP withdrawal?
CRA withholds 30% at source outside Quebec (29% in Quebec) — that's $9,000 on $30,000. At filing you settle up at your marginal rate. With no other income in Ontario 2026, actual tax is $3,056 (10.2% effective) and you get a refund of $5,944.
How much is withheld on a $30,000 RRSP withdrawal?
CRA withholding tax on $30,000: $9,000 (30%) in every province except Quebec, and $8,700 (29%) combined federal + provincial in Quebec. Withholding tiers are 10%/20%/30% on ≤$5k / $5,001–$15k / $15k+, doubled to 19%/24%/29% in Quebec.
Is a $30,000 RRSP withdrawal taxable income?
Yes. The full $30,000 is added to your taxable income for the year and taxed at your combined federal + provincial marginal rate. The 30% withholding is a deposit against that tax, not the final tax owed — if your marginal rate is higher you'll owe more; if lower you'll get a refund.
Does it matter how I split a $30,000 withdrawal?
Yes — withholding tiers apply per withdrawal, so splitting $30,000 into several ≤$5,000 withdrawals drops the immediate withholding to 10% each (19% in Quebec). CRA is wise to this: they may apply a higher rate if withdrawals are clearly coordinated to reduce withholding. Final tax at filing is identical regardless of splits — only your cash flow before filing changes.
