What Is the T2033 Form in Canada? Transferring Registered Retirement Investments

Most registered accounts are designed to keep you focused on long-term goals like retirement or home ownership, which is why withdrawals can be complicated. But you can still move your money into new accounts—so long as you follow the right steps to avoid penalties and taxes.

There are many reasons why you might want to move your registered savings. Perhaps you're switching financial institutions or transferring your pension from a previous job. Or maybe it's time to convert your RRSP to an RRIF. Whatever the reason, once you've decided that your funds in a registered retirement account need to move, you might see a T2033 form and wonder what it's all about.

At first glance, it might look like just another piece of paperwork. But understanding how the T2033 works can help you avoid unnecessary taxes and protect your long-term savings.

What is a T2033 form?

A T2033 is a form issued by the Canada Revenue Agency (CRA) that allows you to transfer certain registered investments from one financial institution to another. “Think of the T2033 as your safeguard during an account move,” says Maria Eliza Santos, a tax expert with TurboTax Canada. “As long as the funds go directly from one institution to another, you're not triggering taxes—you're simply relocating your investments.”

In simple terms, the T2033 lets you move your money directly between institutions without triggering taxes. While the T2033 is not mandatory, it allows transferring institutions to enable smoother transactions, and it provides official documentation for the transfer in case CRA has questions. Here's what you need to know:

• The T2033 is a CRA form specifically for registered accounts.
• The funds move by direct transfer, and you do not withdraw any money.
• The transfer does not count as taxable income.

What accounts does the T2033 apply to?

The T2033 form is used for transferring a variety of registered investment accounts between account types and institutions.

Registered Retirement Savings Plan (RRSP)

An RRSP is one of the most common accounts transferred using a T2033. Whether you're switching banks or moving to a lower-fee provider, this form ensures your savings remain tax-deferred.

Registered Retirement Income Fund (RRIF)

If you've converted your RRSP into a RRIF, you can still transfer it using a T2033 without affecting your taxable income, provided the funds move directly between institutions.

Other registered plans

The T2033 may also apply to other registered accounts, such as:

• Locked-In Retirement Account (LIRA)
• Registered pension plans
• Deferred Profit Sharing Plans (DPSP)

Each account type has its own rules around transferring, but the core principle of how to facilitate a transfer remains the same. Use the T2033 to ensure that transfers are documented correctly to avoid tax consequences.

Transfer vs. withdrawal: What's the difference?

One of the most important things to understand is the difference between a transfer and a withdrawal.

Transfers (using a T2033)

• Funds move directly between financial institutions.
• No taxes are triggered.
• Your RRSP contribution room remains intact.
• Your TFSA contribution room is unaffected.

Withdrawals

• Funds are paid out to you personally.
• For RRSPs and RRIFs, withdrawals are taxable income.
• You may lose valuable contribution room.
• Recontributing may not be possible without penalties.

A note about TFSAs

While the T2033 form is not an official CRA form for TFSAs, many financial institutions use their own version of a “T2033-style” form to process TFSA transfers. Using this similar form for TFSA transfers means that withdrawals are not taxed and TFSA contribution room is kept intact. Without documenting the transfer, if you withdraw funds and recontribute in the same year without available room, you could face penalties.

How the T2033 works

The good news is that transferring your accounts using a T2033 is relatively straightforward.

1. Start with the institution where your money will be transferred to. They'll provide the necessary forms and guide you through the process.
2. Complete the T2033 form. You'll need to provide details such as your current financial institution, account numbers, type of registered account being transferred, and whether you want the property transferred in cash or in kind.
3. The receiving institution handles the transfer. You never take possession of the funds. This is what keeps the transfer non-taxable.

Common mistakes to avoid

Even though the process is straightforward, there are a few common pitfalls to watch out for.

Withdrawing instead of transferring

This is the biggest mistake. Taking money out manually (even temporarily) can trigger taxes and penalties.

Overlooking transfer fees

Some financial institutions charge transfer-out fees, often ranging from $50 to $150 per account, although the firm receiving the transfer may reimburse these fees. Always confirm in advance.

A T2033 form might not be something you come across often, but it can play a critical role in protecting your investments.

“One of the most common mistakes we see is people withdrawing funds instead of transferring them,” says Santos. “That simple misstep can turn a tax-deferred account move into a taxable event.”