ADMS 3530 Lecture Notes - Arthur Laffer
Document Summary
Tax-free savings accounts were introduced in 2009 by the government to encourage. Tfsa"s allows all canadians to make investments and their returns (capital gains, dividends, interest) are not taxed. Annual contribution limit to a tfsa is now . 5k. Any type of investment can be made: stock, bonds, etf"s, reit"s, mutual funds. At any time you can sell your investments held in your tfsa and withdraw cash tax- free. However, if you contribute ,000 in january and then withdraw cash in. September, you can only contribute in the current year. However, you can keep buying and selling and re-investing to grow your investments without withdrawing cash if you don"t want to. How does the tfsa program offered by the canadian government assist the. The tfsa encourages canadian to invest more which encourages long-term planning and provides capital to companies.