Tax Free Savings Account
Grow Your Investment Tax Free Plus You Have Flexibility to Access.
Tax Free Savings Account (TFSA) is a saving plan that does not charge taxes on any contributions, interest earned, dividends or capital gains, and can be withdrawn tax free. Administrative or other fees in relation to TFSA and any interest or money borrowed to contribute to a TFSA are not deductible..
Some benefits of investing in TFSA are that earnings from qualified investments (interests, dividends or capital gains) are never taxed. There is also no tax on withdrawals, which allows flexible access to your funds without the investment gains being added to your income for the year. There is no income requirements for contribution. In addition to the annual contribution room, your unused contribution room is carried forward indefinitely. Plus, withdrawals are added back to your contribution room following year. You can hold the plan for life and keep federal benefits. Income earned and withdrawals don’t affect eligibility for Federal income tested government benefits or tax credits.