In this article:
Overview
When you take money out of your FHSA, there are rules and processes that the CRA requires us to follow. Also, the reason you withdraw from your FHSA impacts how the CRA treats your withdrawal for income tax purposes.
This article covers qualifying withdrawals for purchasing a first home. You can also learn more about taxable (non-qualifying) withdrawals and resolving over-contributions to an FHSA.
Note: You can make FHSA withdrawals to a linked bank account or a Wealthsimple chequing account if you have a self-directed FHSA.
Make a qualifying FHSA withdrawal
Follow these steps to make a qualified withdrawal:
- Log in to the Wealthsimple app
- Select an FHSA
- Tap Transfer
- Select an account to deposit the funds into
- Tap Next
- Choose Home purchase
- Tap Next
- Follow the prompts to complete the CRA questionnaire to ensure your eligibility
- If you're eligible, we'll upload a signed RC725 withdrawal form to your Documents for your records once the withdrawal is completed
- Log in to your Wealthsimple profile
- Select an FHSA
- Tap Transfer money
- Select an account to deposit the funds into
- Choose Home purchase as the Withdrawal reason
- Follow the prompts to complete the CRA questionnaire to ensure your eligibility
- If you're eligible, we'll upload a signed RC725 withdrawal form to your Documents for your records once the withdrawal is completed
Withdrawal timelines
The time it takes to receive your withdrawn funds depends on:
- the settlement period for any new deposits (5 business days) and
- the withdrawal timeline for your specific account type (managed or self-directed). Learn more about withdrawal timelines.
Note: Qualified withdrawal timelines are the same as standard withdrawal timelines; we can't expedite them.
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