Investment Q&A

Q: If you had to bet on an increase of capital gains taxes in the next federal budget on April19, what would be the odds?
I know this rumor has been present for ages, but the probability is surely higher this year.
Good day.

Q: In a cash account, from a taxation perspective, which ETF would you prefer between XAW and VXC and why? Thanks

Q: I recently sold a stock at a loss of a few dollars. If I choose not to claim a loss on this transaction am I allowed to re-purchase the stock inside the 30 day
parameter without penalty?

Q: Hi Peter...If you could put on your CRA hat for a minute. I made a metal error this past summer and sold my WSP shares held in a margin account triggering a sizeable capital gain. The same day I rebought the shares. Scotia iTrade has now sent me their tax form but their numbers did not match mine. In essence Scotia raised the adjusted cost base of the shares up by including the new shares with the original shares. It is like I purchased the shares first (raising the ACB) and then sold a portion of the holding. Naturally I am tempted to go with Scotia's numbers because it reduces the tax burden. Do you have any thoughts?
As an aside it would seem one could always raise the ACB by buying shares on margin and then selling the holding after let's say 30 days. (We have to renovate the house in about a year so I will need to sell stocks to raise cash. All stock positions are currently positive thanks in no small measure to you, Ryan and the 5i team). The risk is the share price tanks after I have increased our position and one ends up with a loss instead of a profit. However you have advised us that in regards to rebuying shares after claiming a capital loss that generally the share price doesn't move much over 30 days.
Any thoughts you have would be appreciated,
Jim

Q: my granddaughter has an RESP. it holds apple Berkshire Hathaway and face book with a cumulative value of over 100,000 CAD. do I have to file a special form with revenue Canada since its value exceeded $100,000 to its value thanks Richard

Q: Not a question. There have been a number of questions regarding Topicus.com's ACB.
There is a thread started in the Forum.

Q: Good morning Peter, Ryan, and 5i Team,
Can an poorly performing stock in a TFSA be transferred 'in-kind' to an investment account for possible a tax-loss benefit later in the year? Can the TFSA then be 'topped up' or do you have to wait until next year? Are there any merits to doing this transfer? Thanks as always for your insight.

Q: I know you are not tax experts, so please disregard this question if it falls too far outside your field. I only venture it because you are so generous in answering all sorts of questions.

My wife and I each have a margin account. We are retired and take money from a rif each year. Dividends, capital gains and pensions are split at tax time.

The question is whether we are able to shift money back and forth between our accounts without tax consequences? Also, would it be possible to combine the two accounts into a joint margin account without tax consequences
Thanks as always for the great service

Q: If I were to sell TOI what do I use as the book value? My brokerage statement shows 1 cent, but I believe it was issued as a special dividend (if that is the term) with a value of about $60.00. Thanks.

Q: Good morning, could you highlight the types of investments and how best to acquire them, that are most ideal to be held in TFSA to minimize any foreign tax issues.

Q: RE: Taxes and Form T5008...I have bought the same stock from the 3 on line brokers I use. Can I combine all 3 buys and sells into one T5008 line or do I have to show trade each separately? thanks

Q: I have US stocks in my RRIF, Cash account, and TFSA that would total 150K. I am a Canadian, and I do not own any property in the US. Can I assume there are no US tax implications?

Q: Are there any tax implications for an individual with 100K+ of US stocks in a TFSA. I understand the 15% dividend withholding if such held stocks do pay a dividend.

Q: Does a LIRA have the same tax rules for US dividends as an RRSP? I understand RRSP is better than TFSA for US stocks.

Q: Hi guys. First, thank you for the great advice and it is a pleasure to belong to 5i Research. Based on percentage, how much US or foreign stock/ETFs can I have in my TFSA without having tax implications when I sell? Or, are there no tax implications because the investments are in a TFSA? Thanks.
Mike

Q: I "discovered" today that ET dividend was reduced of 37% in my RRSP since it is a US LP (limited partnership).Is BIP " LP" In my RRSP taxed the same way ? I guess and hope not, since it is not a "US LP" .I sold ET to Buy KO+PG instead ,at least no more tax on dividends and more stability ! thanks all for points of vue .

Q: does one have to use cents when doing a tax return or will .00 be ok? Thanks

Q: Wondering if any one can answer question. In my tax package I received a foreign property list which had Brookfield Renewable BEP.UN listed in it.
I can't figure this out as I bought this on the TSX. None of my other Brookfield holdings were on the list. Hoping someone can solve the mystery.

Q: Please explain the mer for hxt and the tax treatment on accumulating dividends.

Q: I think you answered this kind of question before. If so, my apologies.
ENB (as an example) is a Canadian stock also trading on NYSE. If, in a taxable account, I journal the shares over to to the US$ side, will the dividend be taxed as interest income, or as US$ dividend (i.e. no dividend tax credit)?
Thank you
jerry mencl