Withdraw $75,000 from your RRSP in 2026 and CRA withholds $22,500 immediately (30%) — or $21,750 (29%) if you're in Quebec. Your final tax bill depends on your marginal rate (other income + province).
Withheld at source (outside Quebec)
$22,500
30% of $75,000 — you receive $52,500 cash
Withheld at source (Quebec)
$21,750
29% combined fed + QC — you receive $53,250 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
$22,500
$14,015
18.7%
$8,485.25
$60,985
British Columbia
$22,500
$13,245
17.7%
$9,254.99
$61,755
Alberta
$22,500
$13,722
18.3%
$8,777.79
$61,278
Quebec
$21,750
$16,618
22.2%
$5,131.97
$58,382
Manitoba
$22,500
$16,209
21.6%
$6,290.51
$58,791
Saskatchewan
$22,500
$15,412
20.5%
$7,087.91
$59,588
Nova Scotia
$22,500
$17,746
23.7%
$4,754.13
$57,254
New Brunswick
$22,500
$16,076
21.4%
$6,424.00
$58,924
Newfoundland and Labrador
$22,500
$16,412
21.9%
$6,087.77
$58,588
Prince Edward Island
$22,500
$16,886
22.5%
$5,614.38
$58,114
Northwest Territories
$22,500
$13,213
17.6%
$9,287.03
$61,787
Yukon
$22,500
$13,443
17.9%
$9,056.80
$61,557
Nunavut
$22,500
$12,057
16.1%
$10,442.66
$62,943
With Other Income (Ontario 2026)
What a $75,000 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 $75,000 RRSP withdrawal?
CRA withholds 30% at source outside Quebec (29% in Quebec) — that's $22,500 on $75,000. At filing you settle up at your marginal rate. With no other income in Ontario 2026, actual tax is $14,015 (18.7% effective) and you get a refund of $8,485.
How much is withheld on a $75,000 RRSP withdrawal?
CRA withholding tax on $75,000: $22,500 (30%) in every province except Quebec, and $21,750 (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 $75,000 RRSP withdrawal taxable income?
Yes. The full $75,000 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 $75,000 withdrawal?
Yes — withholding tiers apply per withdrawal, so splitting $75,000 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.
