RE:RE:TFSA - Canada
You have to pay tax on all capital gains before the transfer to your TFSA account. IE if you have invest $100,000 in your cash account and have a 10% gain before you transfer to your TFSA, you have to pay on $10,000. I drove them crazy when I opened mine bc I must have asked the "Are you sure I dont have to pay taxes on any capital gains even when I withdraw money?" 50 times. Always replied "No, you do not pay any tax on a TFSA account" But I just got mine and transfered all my shares over at 6 cents. You keep the same ammount of shares. It just looks like you lost money but you didnt. The one part I didnt understand was the $32,000 allowable per year. Still dont. Either way, TFSA's -all the rave.