Tax-Free Savings Account
Since January 1, 2009, the Government of Canada approved legislation creating Tax-Free Savings Accounts (TFSAs). KCCU offers them as variable (daily interest) and in fixed terms from 1 through 5 years.
The purpose of the TFSA is to provide a savings vehicle for individuals to earn tax-free investment income.
Features of this new registered product:
- Available to Canadian residents age 18 and older
- Contributions will not be tax deductible
- Contributions may only be made by the owner Income earned and capital gains under a TFSA will be tax sheltered
- Withdrawal of contributions and/or income will not be subject to tax
- Maximum contribution limit for 2013 is $5,500 plus unused room from previous years. 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 the annual CRA Notice of Assessment
- Deposits made to TFSAs are fully insured with no limit on maximum amount
Visit our web site link often for up-to-date information. You can also visit your nearest branch or contact us at 613-384-5555.