Tax on CPP or QPP death benefit

The Canada Plan Plan (CPP) or Quebec Pension Plan (QPP) death benefit is a one-time, lump-sum payment made to the estate upon the death of a contributor.

 

If you received this amount and you are a beneficiary of the deceased person's estate, you can choose to to include it on line 114 of your own return or on a T3 Trust Income Tax and Information Return for the estate. 

Do not report it on the deceased person's individual return. The Taxes payable may be different, depending on which return you use. 

Death benefits are shown in box 18 of a T4A(P) slip.

Taxes on employment death benefits

The due dates to file income tax returns for deceased persons

Year end of a trust 

Additional information