Withholding tax

Summary policy

September 3, 2003 (Revised September 13, 2005)

Reference number

Key words

Withholding tax

Policy statement

The Income Tax Act requires tax to be withheld on certain payments (for example, lump-sump payment from a registered pension plan). However, since a registered charity is exempt from Part I tax, the charity can apply to the Canada Revenue Agency for a waiver of the requirement to withhold tax.


  • Income Tax Act, R.S.C. 1985 (5th supp.) c. 1, ss. 153(1.1)
Report a problem or mistake on this page
Please select all that apply:

Thank you for your help!

You will not receive a reply. For enquiries, contact us.

Date modified: