Talking Savings: TFSA Does Not Mean TFIA
If you are thinking about jumping into the Windsor real estate market because of the recent trends and statistics you might be starting to or have already started setting aside funds in a Tax Free Savings Account (TFSA). This is a great tool that can help you get your mortgage together when you start your searches for houses for sale in Windsor with your Windsor real estate agent. However, it seems some people are deciding to use this account in a different way and the Canada Revenue Agency is onto it.
First introduced in 2009, the TFSA was designed as a tool to help Canadians more easily save for their “lifetime savings needs”. It was created to boost your savings, not as a Tax Free Investing Account that active stock traders use to shelter their gains. In May of 2022, the CRA made media headlines with their warnings. They made it clear that they were going to keep a close eye on people with too many “wins” in their account. While not public, the CRA will most likely use many factors to determine if a TFSA is being used as intended for savings or as a business shelter. At the moment nothing is set in stone but the CRA seems to be taking steps to create clear distinctions between personal and business activity in a TFSA.
Here at Jump Realty our agents will give you honest advice on what course of action is best for you in their professional opinion and will always put taking care of your best interests first! With offices in Windsor, Tecumseh, Kingsville, LaSalle, and Chatham, no matter where you are, a Jump agent is ready to help. Please contact us for any housing needs and let us give you a better real estate experience!