Is an RCA pension considered income?

All distributions out of an RCA trust are fully taxable and subject to withholding tax at source. The RCA custodian provides you with a T4A-RCA slip, Statement of Distributions from a Retirement Compensation Arrangement (RCA), showing the amount of distributions and the income tax deducted. You must report the RCA income as "other income" on your income tax return in the year it is received. It is taxable at your marginal tax rate.