Investment Q&A

Q: I am looking to follow the S&P 500. I am not sure what etf is best to use. I have seen you recommend VFV in Q&A but your model etf portfolios hold ZSP. Is there one you would choose over another? Is there another option I should consider? If you can advise if it is best to put in a register or unregistered account. I have room in both my TFSA and RRSP.

Thank you for the great service.

Q: Hi,
Multuiple questions here, please deduct the credits you think are appropriate.

1) Can you please explain when it makes sense to hold a hedged version of an ETF
2) If one holds a Canadian ETF with US holdings, how does taxation work? Does it change whether they are held in a cash acct, TFSA, or RRSP and how?

Q: Hello,
Question regarding the 30 day rule on repurchasing a stock that was sold for a capital loss. I sold Enb.to for a small capital loss in a non registered account.
If I decide to re-purchase the stock within the 30 day period I understand that the capital loss is not allowed, as I sold for a very small loss that really does not matter.
My question is; what if any any other penalty or other issue to consider before re-purchasing (my example enb.to) for a much lower price than I sold it for?

Thanks,
Randy D

Q: morning guys:
I bought a couple names with the dip but had to use my line of credit to do so . Am I able to claim the interest on next years taxes as I borrowerd to invest . If so is there a calculation that is used to determine how much interest i can claim .
Thank u

Q: Are there any tax issues when holding an ETF like VGG or other US dividend paying ETF's in a TFSA account?

Thanks,
Patrick

Q: Hello,

In what type of account would this be most tax efficient please?
The $USD component has confused me.

Cheers

Q: Hi!
A few times there has been mention of 5i members declaring the subscription for a deduction for their income tax return.

Hoping someone would know under which section this can be done using Ufile?

Thanks.

Q: Hi there,
When there is a corporate takeover and one receives a fraction of the new shares, that fraction of a new share may be paid out as "cash in lieu". Is that cash in lieu treated as a capital gain/loss or is it considered dividend income?
Thank you.

Q: Hi,hope you can give me some info about the papers I received from Brookfield infrastructure concerning schedule K1 (tax package)they also say nonUS resident unitholders may not require the US tax Package.the units are in my TSFA from the
Enercare stock .Are there any obligations with the US ,?
thanks for your help.
Margit

Q: Hi 5i, Another question about your model ETF portfolio.
This one is about VE-T and VEE-T.
They trade on the Toronto exchange, Does that make them like Canadian ETFs?
I mean, are their dividends eligible for the tax credit? Or are they fully taxed, just like US
ETFs?
Many thanks. Shan

Q: Can you please tell my if 100% of ZWC monthly income received is eligible for the dividend tax credit?
Thanks!!

Q: My instincts predict the federal government will bump the capital gains tax from 50 to 75 or maybe even 100 and that there won't be any grandfather clause, ie immediate day of March budget. Were this a known fact to happen, please offer your thoughts on what you would recommend. Thanks!

Q: A comment on Shirley of this morning regarding tax forms (T3, T4, T5, LP tax forms..etc.), now all of these can be downloaded directly from Revenue Canada website directly to your tax filing program. The only issue is that you have to wait until all of them are received by RCA which is usually around first week of April.

Q: My TFSA and RRSP are topped up and I have a an unregistered account,what would the best tax advantageous stocks to buy,would it be dividend tax credit stocks and if so could you give me a couple of companies that have good management,growth and a rising dividend ....thanks

Q: I need some help.
I am retired and moving to the U.S.and my current bank will not let me trade my RRSP once I establish residence in the U.S.
Do you know of any financial institutions which would allow me to trade my Canadian RRSP from a U.S. address?
I am and will remain a Canadian Citizen

Q: Hi Gentlemen,
If I make a donation in stocks with loss to my adult children, can I claim the loss ?
Thanks Best regards.

Q: Alexandra has been asking about crystallizing capital gains to apply against capital losses (which are presumably already realized).

If my understanding of her question is correct, she should be advised that there is no need to wait 30-days to repurchase stocks sold at a gain.

Further, there really isn't a need to sell a stock just to offset a capital loss carry-over, as that capital loss carry-over carries forward indefinitely.

You can never say never, but the risk of the government undoing the capital loss carry-over benefit is minimal. There has been talk about increasing capital gains inclusion rates, but that's not going to matter to Alexandra if she capital loss carry-overs.

Hopefully this is helpful to Alexandra.

Q: Further to my recent question about crystallizing gains to apply against capital losses, how would you implement this ? There will be 5 stocks that I will sell but will re-buy after 30 days, i.e. syz, engh, kxs, wsp, cjt.
In this market,
1) what strategy would you use for selling in terms of timing ,
2) would you temporarily replace with something else and if so, what would that be, and
3) would you do all 5 or just one at a time ?
Thanks again.

Q: I have found that for some ADRs, the home country (eg., the Netherlands, Spain) withholds a portion of dividends, even when the shares are in registered accounts, and of course such tax can't be written off against Canadian taxes. Company websites don't seem to make this information available. Is there some way of identifying in advance when such withholding will occur, or can you offer more general advice regarding how best to invest in individual, non-US companies, while receiving the full value of dividends paid?

Q: I received a nice payment yesterday from the Amaya litigation. In a non-registered account, would this be regarded as a capital gain?