Investment Q&A

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?

Q: Comment on US RIF withdrawal. TD uses the exchange rate at time of withdrawal to calculate the amount.

Q: I have positions in each of these ETF's inside my RRSP. Am I paying witholding taxes on any of them? If so - What is the tax treatment if I held them in my TFSA? Also what would the tax treatment be for each if held in my non-registered account?

Q: You mentioned in one of your answers "rebuying later (after 30 days in a taxable account)". Does this 30 day rule [is it 30 calendar days or 30 business days] NOT apply to TFSA's or RIF's?
Thank you.

Q: Hi everyone,
Since BEP, BIP are based in Bermuda and declare foreign income, is there any witholding tax in a RRSP on the income received from their stocks or preferred shares? You mentioned this link before: https://bep.brookfield.com/stock-and-distribution/tax-information , but it does not mention RRSP specifically. Same question for TFSA …

Will it change with the creation of BEP & BIP canadian corp.?
Thanks

Q: Hi 5i
A question about reporting to CRA and Form T1135. I believe that If the "specified foreign property" is over $100,000 and is held inside a RRIF, RRSP or TFSA you do not have to report it on the form, is this correct...?

Q: Could you please explain where the best place for a global or US mutual fund or etf is to be held and why?
Thanks

Q: I have a non-registered account, with 8-10 years before the funds are needed. To minimize tax, we would like focus on 100% capital gains, if possible. Can you recommend some ETFs or individual stocks? We have been looking at Horizon's corporate class ETFs. Thanks for your continued excellent non-biased reports!! Grant

Q: Would there be withholding tax on this fund if held in a non registered account since it is sold in Canadian dollars ? Joe

Q: With respect to the differences between the year end value of BYD.UN and what some brokerage firms have used, I received word from TD that they will be using the price of the shares of BYD when they received the shares not the date when the transaction occurred. TD received the shares on January 8, 2020 and they used the closing price of BYD on January 7, 2020, which was $215.77 vs. the closing price of BYD.UN of $202.00 on December 31, 2019.

Q: Let's suppose Ottawa increases the capital gains inclusion rate, say jan2,2021.
Would that increased rate apply to capital gains prior to Jan 2,2021 or to capital gains from jan2,2021 ?