TFSAs
Tax-Free Savings Accounts (TFSA)
A TFSA is an investment account that lets you save up to $5,000 a year without having to pay tax on income earned. Any Canadian resident 18 years or older who is an eligible taxpayer and has a SIN number is eligible for a TFSA.
You can save for anything you'd like - a new car, a family holiday or just for a rainy day. And you can withdraw your money anytime, tax-free. And should you not fully contribute $5,000 you can carry the extra contribution room forward for the next year.
Features of TFSAs
- Available to Canadian residents age 18 and older
- Income earned and capital gains under a TFSA will be tax sheltered
- Withdrawal of contributions and/or income will not be subject to tax
- Unused contribution room may be carried forward and contributed in a future year
- Withdrawals (capital and income) will increase the unused contribution room
- Unused contribution room will be reported on your annual CRA Notice of Assessment
- Contributions will not be tax deductible
- Contributions may only be made by the owner
To start investing in your TFSA, call TCU at 519-692-3855
Deposits in registered savings plans are fully insured. (Other Canadian dollar deposits insured up to $100,000)
*For further information on deposit insurance, please ask for a brochure at the credit union or call DICO at 1-800-268-6653 or log on to the website at www.DICO.com.
