Investment Q&A

Q: Hi Peter & Team,

It may be my imagination, but I seem to remember reading somewhere - in the Questions section, I think -that 5i has a tool to help us calculate the ACB of our holdings. Please tell me it's not wishful thinking....

Thanks for all your help.

Molly

Q: In late December I transitioned my RRIF portfolio (~28% of total portfolio) from a mix of VGRO & XAW to all VRIF (objective primarily to derisk a bit (?) and to simplify required payouts.
I maybe didn't adequately consider the following implications in my decision? What are your thoughts about the exposure to possible ROC as part of the monthly payouts and the subsequent more-rapid erosion of the RRIF capital, given the current market turmoil.
Thank you.

Q: 30 days ago I sold AQN, BEP.UN, and SJ for tax losses, and replaced them with CPX, BAM and ADN, respectively, thanks in large part to your advice plus some other research I did.
Which of the "replacements" would you shed in favour of a return to the original holdings (as originally planned). I'm thinking CPX out/AQN (or BEP) back in, ADN out/SJ back in, but hold BAM and skip BEP (or AQN). Does that make sense to you?
Portfolio objective is ~ 8-10-year holds (except for harvesting tax losses occasionally) with dividend growth.
What comments would you have on the timing of these transactions in light of the current market turmoil?
Thank you.

Q: I have converted a RRSP into a RRIF this year and subsequently my mandated withdrawal and consequent income will be much more than is required for me. My portfolio is chock full of banks, utilities, reits and other solid dividend stocks ( think EIF, SPB ) , essentially matching the present required withdrawal amount. My non registered account has essentially the same composition.
I am considering taking the RRIF withdrawal money and incrementally buying more solid growth stocks such as BAM , TFII , WCN , FSV , etc. instead of higher yielding dividend stocks.
Your thoughts on this portfolio transition is appreciated. Derek

Q: This maybe a silly question. I am currently owning BEP.UN in a non-registered account. Can I claim capital loss if I switched to BECP?

Thanks,

Q: I have BEP.UN in a non sheltered investment account and I am trying to figure out the tax difference between holding it and holding BEPC. I have capital gain on the BEP.UN and wondering if selling, taking the cap gain hit and buying BEPC for better tax treatment going forward is going to pay off in the long run.
Keith

Q: Are ADRs on the on the US stock market taxed differently than US stocks, that is, is there NO 15% withholding tax applied to the dividends. Thanks … Cal

Q: Does the Ontario probate fee apply to. Tfsa?

Q: You stated CDR's would be considered as foreign content. Then if you owned over $100,000 in an American company listed through CIBC you would have to fill out a T1135 even though it is bought through a Canadian exchange? This was why I liked them so I could increase my foreign content without having to do the T1135.

Q: In mid December I moved some shares out of my TFSA into a non-registered account.
The non-registered account shows a market price for those shares attributed to the time/date that I moved the shares. Can I assume that that is the amount of additional room that I now have in my TFSA? What I am intending to do is to move some other shares into the TFSA.

Q: If I buy a stock in my registered account < 30 days BEFORE I sell the same stock in my unregistered (Cash) account, is it still applicable for tax loss or is it considered superficial?

Q: Hi,

I know sometime ago there was an article about "asset location" by you or a guest writer either here or in CMS? Can you direct me to the appropriate link?
There was some "confusion" amongst the members of our investment group which stocks/ETFs are best held is what account!! TFSA/RRSP/Non Registered/ RESP etc.,
The most tax efficient way one can allocate the stocks/ETFs.

Much appreciated.
Mano

Q: In what way is it advantageous to buy VEE vs. the underlying VWO? VEE indicated yield is 2.16%, VWO is 2.62%.
I realize one is Canadian listed, the other American, and it may depend on the holding account. Please explain the mechanics.
Thanks, love your service.
Len

Q: Hi

My trading account offers an option to make TFSA contributions in cash or stocks. Is there a downside to contributing in stock? I'm wondering if this will require tax being paid on the gain that I've already had.

Thanks!

Q: I recently sold a stock on Dec 17th 2021 in a margin account. Is it possible to rebuy the exact same stock for my TFSA now (it has been less than 30 days) and still claim the tax loss or do the same rules apply to a TFSA?
Also, is the 30 day time frame for tax loss 30 calendar days, or 30 days that the exchange is open?Many thanks Don

Q: Hi, I am considering adding Nvidia to my TFSA. Since it is an US stock, other than the withholding tax for the divi's, are there any other issues that I need to be aware of? Thanks Len

Q: Hi,
I am wondering about whether or not replacing stocks sold for a tax loss strategy is prudent, or not. All of the above listed stocks are at a loss in a taxable account. I am looking to offset a large profit that occurred in July when a number of stops were hit. The loss on GSY and SBUX is not terribly large, and so if it is deemed these stand a good chance of rebounding in the early part of 2022, then I may decided to keep them. In selling any of the stocks listed, are their replacements I could purchase that would likely add some growth? The alternative being just wait out the 30 day period and repurchase the strongest of the list. Your thoughts and suggestions would be most appreciated! Thanks for all the great advice over the years! Dawn

Q: I hold BEP.UN in a non registered account but would like to replace it with BEPC. From a tax point of view are they considered to be identical securities such that I have to wait 30 days before buying BEPC? Thank you for your excellent service.

Q: Happy New Year to all at 5i and to the everybody reading this. Hoping that 2022 is a good year for all of us and our families, from a financial perspective and one of well being, health and happiness.

Reviewing some of the past questions, I see that the ECN distribution is treated partially as a dividend and partioally as a "Return on Capital". For the latter, would you know how this is to be treated for tax purposes? i.e. Is it a capital gain, income, ...

Thank You.

Q: in the USA, what is the final day for tax loss selling to claim on 2021 tax return. Is it trade date or settlement date. In other words, can one sell on DEC 31 and have it apply to 2021 tax return. Thanks