Investment Q&A

Q: Retired. This question is regarding the proposed June 25/24 tax changes.

I have unrealized capital gains of $110k and my wife has $30k. We also have a house worth roughly $5-600k.

4 questions:

1. My understanding is, upon the last death of my wife or I, the proceeds of the house will pass on to our beneficiaries (our kids)....tax free. Correct?

2. My wife's $30k unrealized CG isn't large enough to warrant being proactive. Agree?

3. My $110k unrealized CG is large enough to at least look into it further. My largest unrealized CG is in WSP (even though I have trimmed it 18 times) = $32k.

I see 2 options = #1 is do nothing because the house doesn't factor in and the $110k is well below the $250k threshold. #2 = sell some or all of WSP, then buy it all back the next day.

Any thoughts, knowing you can't provide personal advice?

4. Just to confirm, because WSP would be sold for a capital gain, there is no need to wait 30 days to rebuy....agree?

Thanks...Steve

Q: My question is about the increase capital gains tax.

Assume a corporate account has a
$100,000 capital gain on 3 stocks at this time.
Would one be better off selling and buying those back before the June deadline and saving an estimated $6,000 or just staying put and let the stocks grow and pay the increased tax at a later date when sold.?

I realize their are many assumptions but I'm interesting in a general opinion on a hypothetical scenario.

Q: Hi Peter,

Not sure if this is a question that you have seen before.

Can a person transfer an RRSP in kind to a RRIF?

Currently my wife has a LIRA, TFSA and an RRSP.

She will start drawing down on her investments in two years.

I’ve read somewhere that if you transfer the RRSP into a RRIF that you are not subject to withholding tax.

While I understand that taxes will need to be paid eventually, I would rather settle that up at tax time and can do that out of any account.

Thanks in advance.

Q: Are ZSP and XUS also good candidates for RRIF? Are tax withholding rules on dividends for ZSP and XUS the same in RRSP and RRIF? Thanks in advance for your comments.

Q: June 25th - Inclusion rates go up.
Do you think that there might be some profit taking from now up to that date?
Maybe the number of people making a profit >$250K on selling shares isn't enough to nudge the market.
Cheers

Q: Sorry about this tax loss question but I find it a little confusing regarding the minimum 30 day waiting period.
If I sold all my BCE shares on April 16 for a loss.
What is the "earliest" exact date I can start buying BCE back and still claim
the loss in my taxable account?

Q: Good morning, you mentioned these securities in a reply to a question by James on May 13. Could you please add some comments around taxation of the returns, especially if in either TFSA or non-reg account. Thank you

Q: You recently answered about RRSP being the ideal account to hold viu in to minimize withholding tax - does this apply to VEE and ZSP too?

Thanks in advance. - Jeff

Q: Hi there,
Part of the $11.25Us settlement for TCN is return of capital ($3.10). Do we have to adjust the ACB for this amount, or this is only wording ?

Q: Hi

Is there a preferred account in which to hold VIU from a tax perspective?

Thanks
Robert

Q: I would like to increase my industrial exposure. Which is your favourite, TVK or HPS-A for total growth . Thanks
Maurice

Q: I am looking for interest from investments that will enable me to claim the tax credit, this in a non registered account. When buying,how/where can i check to see if a stock or ETF or .un only pays out interest in order to avoid part of the return in ROC
Tks
Sherrill

Q: I apologize if this is a dumb question, but with regard to the new capital gains inclusion rate for gains in excess of $250k, does this change also apply to losses in excess of this amount as well? Or is the new policy 100% asymmetrical, and losses are still at 50%?

Q: Hello
What are the differences between these two and what are the advantages of one over the other. I have BEPC-UN in a taxable account and wonder would I be better served, re taxation, to switch it over to BEPC.
Thanks
Jeff

Q: I am in my 80’s and have a cumulative capital gain over $600,000 in about 30 companies split evenly between U.S.andCanada.
To avoid paying the higher inclusion rate should I sell some of these stocks now and purchase them back at a later date bearing in mind stock and currency rates fluctuate.

Q: in your answer to Mark regarding Capital Gains, you say that the gain will be taxed at a higher rate after this June. But, what about the 250K annual exemption?

Q: If I make 5% on a yield stock and I make 10% on a growth stock per year - would I not be better off all things being equal to just invest in the capital gains stock and trim it by say 10%?

I look forward to your thoughts on both choices and their pluses and minuses.

Thank you

Q: I have a CND and USD side to my RRSP at TD Webbroker. I was surprised to learn that when I convert these RRSP's to RRIFs I can only open a CND RRIF at TD so I will be charged currency conversion fees everytime I receive USD dividends or sell US stock in the RRIF. Given that I have a significant USD allocation to my RRSPs this presents a large issue for me. Is this policy unique to TD or is it a RRIF restiction to hold USD??

Many thaks
Scott

Q: Hi. I sold VRIF mainly for tax loss and and also because the dividend went down. But I own it in another account and would have received a dividend within 30 days of selling it. So can I claim the tax loss?

Thanks!

Q: Re: Capital Gains Inclusion Rate 66% within Corporations after June 25, 2024 (no tax integration with personal gains exemption on first $250 K)

Given the choice and all else equal, would it make sense to trigger capital gains within a Corporation portfolio, before June 25, 2024 and conversely, trigger losses after June 25, 2024? This is also part of a rebalancing exercise that I was planning anyway. There is no rush, financial need, or cash flow issue.

(Disclaimer to take pressure off you: Market prices fluctuate, investment decisions should not be based on tax considerations alone, and complex decisions should be done with financial advisor, accountant, etc).