Tax-Free Savings Account Information
Beginning in January 2009, Canadians a tax-sheltered option for saving money, thanks to Tax-Free Savings Account (TFSA). Introduced by the federal government in their 2008 Budget, the TFSA allows you to save or invest your money without having to pay tax on any income or capital gains. You can also withdraw funds tax-free at any time. That's great news and a great incentive to save money and watch it grow faster than before – tax-free!
TFSA Highlights
- Inception date: January 1, 2009
- Contribute up to $5000 a year to start
- Unused contribution room is carried forward indefinitely
- Save and invest tax-free
- Income and capital gains earned in a TFSA are not taxable
- Withdrawals won't affect income- tested benefits and credits
- Eligible investments: Similar to RRSPs
Contact us for more information.
Attachments:
Tax Free Savings Account Brochure from Manulife
