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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

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%?
Read Answer Asked by Trevor on May 08, 2024
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
Read Answer Asked by JEFF on May 08, 2024
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?
Read Answer Asked by alex on May 06, 2024
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
Read Answer Asked by Mark on May 03, 2024
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
Read Answer Asked by Scott on May 02, 2024
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!
Read Answer Asked by Lynn on April 30, 2024
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).
Read Answer Asked by Alfred on April 29, 2024
Q: I thought I read somewhere that you do not have to report capital gains that are less than some threshold amount, like say $50, but when I search I find nothing about this. Is it true? If true, would that threshold be per sale or in aggregate for the year? Because I have several transactions with DLR for currency exchange which result in very minor gains/losses. A bit tedious to report especially if just pennies are involved. Also, when reporting, I suppose one has to keep the 30-day investment loss rule in mind? Thanks.
Read Answer Asked by William on April 23, 2024
Q: hello 5i:
Regarding the tax treatment of dividends from a US preferred share, held in a TFSA: would there be a 15% withholding tax on the dividend, or is it exempt because its in a TFSA?
Also: if there were a capital gain on the preferred held in the TFSA, would that be exempt from the 15% withholding tax?
thanks
Paul L
Read Answer Asked by Paul on April 22, 2024
Q: Do you expect selling pressure in the Canadian market over the next two months as investors 'rush to the exits' to realize capital gains prior to June 25th? Do you think that this selling pressure may have a material impact on the share price of those stocks that have realized large gains over the past couple of years?
Read Answer Asked by Glenn on April 19, 2024
Q: Hi

Looking at my 96 year mother's Investment accounts, when she passes away, the estate is going to get nailed with this new capital gains tax. My mother is a buy hold type of investor having some stocks for 30 plus years.

Then you add cottages into the mix look out scout the estate is going to get nailed. Am I correct?

If the so called generation that was to receive a vast fortune with this new rule will be getting a lot less is this correct?.

In my case I am 68 have 1.5 million in a RRSP's and 2 million in cash. I receive 4 indexed pensions and have zero debt

Would it be wise in my situation (and others in this situation) to start withdrawing form my RRSP and setting up accounts for my children. Also start selling my mother's stocks that are up 300%, before this new budget become law.

Your comments and possible suggestions would be greatly appreciate.

Thanking you

Mike

Read Answer Asked by Mike on April 19, 2024
Q: First time PRIF account holder here ( 59 years old, retired 11 years ago, took control of my company pension, created a LIRA account, and with 5i's help have enjoyed a multi bagger). Cant say how valuable the knowledge I've learned being a member here has been, thank you folks very much! Of course being in a registered account my gains have been tax free, now setting up a monthly income stream I'm subject to the with holding tax. Dont mind paying my share of taxes, but curious if there are any strategies to lessen that burden?
Read Answer Asked by Charles on April 18, 2024
Q: Is the proposed increase in tax for capital gains over $250,000 an annual amount or a lifetime amount?
Read Answer Asked by Alan on April 18, 2024
Q: 2024 budget re capital gains tax increase, does this also apply to stock dividends.
Read Answer Asked by bill on April 17, 2024
Q: I have one stock whose ACB has reached zero as a result of repeated ROC charges. Is it possible for a stock to have a negative ACB as a result of further ROC charges? How is the ROC paid when the ACB is zero?
Read Answer Asked by richard on April 16, 2024