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What are capital gains? Capital gains are the profits generated from the sale of investments such as stocks, real estate, or other type of assets. In Canada, capital gains are subject to taxation. One exception where capital gains are not…
What’s a TFSA? A TFSA, which stands for Tax-Free Savings Account, was introduced in 2009 by the federal government as a way for Canadians to accrue investment gains tax-free. This means that within a TFSA account, revenues generated from investments…
W-8BEN is a tax form, by the U.S. Internal Revenue Service (IRS), used to certify that one is not a resident of the United States for tax purposes. If you are a Canadian resident and hold US domiciled investments, you…
What’s an ISA? An ISA, which stands for investment savings account, is better alternative to more common “high-interest” saving accounts (HISA) as they offer a better interest rate. To open an ISA account, you need to open a brokerage account.…
What’s an FHSA? An FHSA stands for First Home Savings Account. An FHSA is a tax-free registered account with the federal government to help first time home buyers to save for a down payment. An FHSA has the advantage…
What are restricted stock units (RSUs)? Restricted stock units (RSUs) are a type of employment compensation offered by some companies to their employees in the form of company stocks. Employers offer RSUs as a retention strategy to incentivize employees to…
If you own real estat that you rent, rental income need to be declared on your tax return. However, you can also deduct expenses in order to maximize your net income. In order to prepare a tax return for rental…
Offsetting capital gains with capital losses Did you have a capital gain during the year (for e.g. you sold some stocks at a gain)? You can decide to sell other holdings at a loss (capital losses) to offset your capital…
What’s a HBP? A HBP stands for Home Buyers’ Plan. A HBP allows you to withdraw funds from your RRSPs to buy or build a property. To be able to use funds from an RRSP to by a property, these…
What’s an RRSP? A RRSP stands for Registered Retirement Savings Plan. An RRSP is a registered account with the federal government to allow Canadians to save for retirement purposes. RRSP is advantageous for two reasons: Who is eligible? Canadian residents…
