TFSA
Loopholes Tagged "TFSA"
Plain-English guides to Canadian legal rights and workarounds related to TFSA.
CDIC Deposit Insurance Stacking — Multiply Coverage by Using Separate Ownership Categories
CDIC insurance is not just $100,000 per person.
Beneficiary Designations: Bypassing Probate on RRSPs, RRIFs & TFSAs
Naming a beneficiary on your RRSP, RRIF, TFSA, and life insurance policies causes those assets to pass directly to your beneficiary outside of your estate — avoiding probate fees (up to 1.5% in Ontario), delays of 6–18 months, and public disclosure of your estate.
TFSA Over-Contribution Penalty Waiver
CRA has discretion to waive TFSA over-contribution penalties if the excess arose from a reasonable error — most Canadians who receive these penalties don't know they can ask CRA to cancel them entirely.
OAS Clawback Planning — Keep Your Old Age Security by Managing Taxable Income
Old Age Security benefits are clawed back at 15 cents per dollar of net income above a threshold (~$90,997 in 2024) — proactive income management can preserve thousands in annual OAS payments.
Superficial Loss Rule — Avoid the 30-Day Repurchase Trap When Harvesting Tax Losses
Canada's superficial loss rule disallows capital losses if you (or an affiliated person) repurchases the same or identical property within 30 days before or after the sale — knowing the rule lets you harvest losses without triggering it.
TFSA Successor Holder — Keep a Spouse's TFSA Tax-Free After Death
Naming a spouse or common-law partner as TFSA successor holder is often much better than naming them only as beneficiary, because the account can continue as their TFSA without using new contribution room.