Q: Hi 5i:
My question is about ETF EQLI, an S&P equal weight ETF that also writes covered calls. This ETF trades on the TSX in CAD but tracks a US index. Would the income generated by this ETF, if held in a TFSA, face the clawback from the US government even though it trades in Canada?
Thanks,
Murray
My question is about ETF EQLI, an S&P equal weight ETF that also writes covered calls. This ETF trades on the TSX in CAD but tracks a US index. Would the income generated by this ETF, if held in a TFSA, face the clawback from the US government even though it trades in Canada?
Thanks,
Murray
5i Research Answer:
Tax consequences depend on what it owns, primarily. Yes, there would be withholding taxes in a...