What happens to the money in a Registered Retirement Income Fund (RRIF) after the death of the RRIF holder – and the taxes on it – will depend on:
- whether or not the RRIF holder has named a beneficiary for their RRIF, and
- who the RRIF holder has chosen as their beneficiary.
Read this previous question to learn more about the tax implications to a RRIF after death.
If a deceased RRIF holder has a designated beneficiary, the money in your RRIF will be paid to the beneficiary, but the taxes are paid from the annuitant’s estate. Generally, the deceased’s estate is responsible to pay the deceased’s taxes. For more information, see the Canada Revenue Agency’s publication, Death of a RRIF annuitant.