Tax Free Savings Account (TFSA) is a new savings or investment account available to Canadians age 18 or older. Although contributions are not tax deductible, the TFSA is a great tax sheltered account to grow your savings and meet both your short and long term investment goals.
- Capital gains and other investment income will not be taxed
- Withdrawals are allowed and will be tax-free
- Unused TFSA contribution room can be carried forward to future years
- Withdrawals form a TFSA will create contribution room for the next year
- You can carry forward your unused contribution room indefinitely
- $5500 Allowed for 2017