TFSA – $46,000 ish. I love 2009! My strategy was pretty high risk options investments but being under 30 I had the timeline to recoup losses.

Or will I have to wait until 2011 to reinvest the monies into the Discount Broker TFSA?

You are all on the right track. There is no problem with selling in a TFSA and buying the same investment in an RRSP, or the other way around.

The superficial loss rules kick in if you sell a non-registered investment at a loss and then buy the same investment within 30 days – either you or your spouse, even in an RRSP or TFSA. Then the capital loss on the non-registered investment is not allowed.

If you are only buying and selling in RRSPs or TFSA, and not claiming non-registered losses, then there is no problem.

Ed

Seems to me if you think that the positions you are selling should appreciate over time and still think that they are a good investment, you should consider buying them within your TFSA and not sell within your RRSP letting them appreciate. Assuming you have the capital.

Cheers

can I sell my RRSP stocks at a loss to the market and then buy the same stocks in my TFSA from the market?

What I’d like to see is an increase in the contribution limit by $100 per year (that’s about 2%) rather than wait until inflation has risen over the years to bring about a $500 uptick in the contribution limit.

http://www.advisor.ca/advisors/news/industrynews/article.jsp?content=20091022_152855_6984

“Asset transfer transactions” (sometimes known as “swap transactions”), in this context, refer to transfers of property (other than cash) for cash or other property between accounts (for example, a Registered Retirement Savings Plan (RRSP) and another registered account) that are generally not treated as a withdrawal and re-contribution, but instead as a straightforward purchase and sale. Subject to the application of existing anti-avoidance rules in the Income Tax Act, these transfers, when performed on a frequent basis with a view to exploiting small changes in asset value, could potentially be used to shift value from, for example, an RRSP to a TFSA without paying tax, in the absence of any real intention to dispose of the asset.

I dislike the asset transfer ban as well for reasons mentioned above.

“the proposed amendments are to apply to transactions that occur after today. “

I had some shares of BMO in a cash account and transferred them to my TFSA. The book value is 8018.00 (I am an idiot – anyhow) and the current market value is approximately 11K

Today I saw your article and am trying to determine what to do. I called Canada Revenue Agency and to get under the $5K limit I have transfer out $3018 according to them.

Do I just figure out how many shares will give me that much market value today and transfer them back to my cash account? $3018/$51.99/share = 58.04 shares.

So I should transfer say 59 (round up) to be safe?

Thanks,
fillalph

This strikes me as overly punitive to small investors. I have jumped through enough hoops already to get myself a low-fee balanced portfolio. Why should I have to pay more for my investments because a few ingenious gamers broke the system?

I am concerned about the asset transfer. Sometimes you can have assets in a trading account that could be hard to acquire, or you just don’t want to sell to have to repurchase. I think that transferring assets in kind really does make sense in some situations, even if it means you need to pay the capital gains or whatnot. The biggest issue with a sell/buy is it could trigger some of the governments crazy capital gains avoidance laws and get you all taxed to hell.