RRSP related question
Potential First time home buyer here who has a lot of RRSP contribution room. I have a question regarding the scenario below:
Let's say I open an RRSP account and contribute $35,000 in it today (July 24th). If I let this sit in the account for the minimum 90 days and then withdraw as down payment to a purchased property (let's say on September 1st), I know this qualifies under the HBP plan option. However, since I have contributed and withdrawn from the RRSP within the same tax year (2020), Can I still deduct the $35,000 contribution from my taxes. Assuming my taxable income is 90K for the year, can I claim the $35K deduction on my taxes (even though It's withdrawn) making my taxable income $55K?
I understand I have to pay back the withdrawn amount in 15 years - interest free.