# T F S A - JAN 2016



## AMABILE (Apr 3, 2009)

if trudeau fails to pass a budget by december 31st
to lower the tfsa amount
can i deposit $10,000 on january 2nd ?


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## AltaRed (Jun 8, 2009)

I suspect that will be a done deal this coming week. Regardless, I would avoid doing so. Go for $5500 until the dust settles, and avoid a withdrawal later....and taking the risk of CRA botching contribution limits up.


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## gibor365 (Apr 1, 2011)

> if trudeau fails to pass a budget by december 31st


 why would he fail? this sexy clown has majority :upset: and he need money for his international PR


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## AMABILE (Apr 3, 2009)

can he pass a budget that quickly ?


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## Karen (Jul 24, 2010)

I read somewhere (I think it was in my Money Sense magazine) that it is likely to be February or even March before the government can pass a budget. That made me wonder, too, if that would mean we could still contribute $10,000 in January - I don't see why not.


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## AltaRed (Jun 8, 2009)

Karen said:


> I read somewhere (I think it was in my Money Sense magazine) that it is likely to be February or even March before the government can pass a budget. That made me wonder, too, if that would mean we could still contribute $10,000 in January - I don't see why not.


That would be a budget for the 216-2017 fiscal year. The point of this parliamentary session is to put a Ways and Means forward to invoke tax measures to take effect Jan 1. We will know by the end of this coming week.


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## GreatLaker (Mar 23, 2014)

AMABILE said:


> can he pass a budget that quickly ?


Does not have to be a budget. See here from 1:45 onwards: http://www.cbc.ca/player/play/2679934252
(... after listening to the mandatory ads)

Dominic Leblanc says on Monday the government will give notice of a ways and means motion which will be voted on Wednesday that would allow it to proceed with the middle-class tax cut and reduce the TFSA limit from $10k to where it had been previously.

He did not specifically say $5k or 5.5k so we'll have to wait for Monday to know exactly.


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## Eclectic12 (Oct 20, 2010)

+1 that a full budget is not needed to adjust the TFSA contribution room granted for 2016.


Cheers


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## BoringInvestor (Sep 12, 2013)

gibor said:


> and he need money for his international PR


Wut?


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## leeder (Jan 28, 2012)

Conservatives allowed the $10k contribution limit before the budget passed. So there's certainly precedent for the government to lower the contribution limit to $5,500 before the budget passes.


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## GoldStone (Mar 6, 2011)

BoringInvestor said:


> Wut?


Trudeau has been in office for 30 days. His government made 7 new spending announcements. The total of the 7 is $2.85 billion (with a b). All of that money will be spend abroad.

UN Security Council seat doesn't come cheap.


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## Davis (Nov 11, 2014)

The Conservative Party seems to be realizing that Canadians are tired of vitriolic ad hominem attacks. It didn't work during the election: the Tories were unable to sway undecided voters to their cause with these sort of attacks, and they seemed to alienate voters. I guess the message hadn't got through to conservatives like GoldStone who will blindly carry on shouting at their TVs.


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## GoldStone (Mar 6, 2011)

LOL


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## avrex (Nov 14, 2010)

GreatLaker said:


> Does not have to be a budget. See here from 1:45 onwards: http://www.cbc.ca/player/play/2679934252


Thanks for sharing the video.

I would infer that we are back to $5500 for Jan 1, 2016.


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## AltaRed (Jun 8, 2009)

Any financial legislation can be handled via a Ways and Means motion. From http://www.parl.gc.ca/marleaumontpetit/DocumentViewer.aspx?Sec=Ch18&Seq=5&Language=E No budget required.



> A Ways and Means motion proposes that a particular financial measure be considered by the House. For a Budget, the motion seeks to approve the budgetary policy of the government; for legislation, the motion sets out the terms and conditions of the proposed measures, most notably the rates and incidence of taxation. While a Budget is normally followed by the introduction of Ways and Means bills, such bills do not have to be preceded by a Budget presentation. Generally, taxation legislation can be introduced at any time during a session; the only prerequisite being prior concurrence in a Ways and Means motion.


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## gibor365 (Apr 1, 2011)

GoldStone said:


> Trudeau has been in office for 30 days. His government made 7 new spending announcements. The total of the 7 is $2.85 billion (with a b). All of that money will be spend abroad.
> 
> UN Security Council seat doesn't come cheap.


Exactly what I meant!
My brother lives in UK and told me yesterday on Skype, how UK media likes out new PM because he wants to bring so many syrian in so short time period :stupid:


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## gibor365 (Apr 1, 2011)

GoldStone said:


> LOL


Did Canadians tired from facts and numbers and want only to hear populists slogans?! Maybe ....


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## Davis (Nov 11, 2014)

Gibor, it has been well established here that you don't base your opinions on facts - you just search out random tidbits from any website you can find to support your prejudices, regardless of the source or its credibility. Every time you post something from a hate site, a blog or a web poll, you demonstrate that. But let's face it, Canadians rejected the fear-mongering, the ad hominem attacks, and the politics of division. But if you want you keep the Liberals in power, keep it up with those tactics.


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## avrex (Nov 14, 2010)

Say goodbye to your $10,000 TFSA.

The TFSA is now back to $5500 for Jan 1, 2016.


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## My Own Advisor (Sep 24, 2012)

Well that sucks...but they promised...and they are delivering. Heck, if politicians can keep up this level of integrity we'll be cookin' with gas.


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## My Own Advisor (Sep 24, 2012)

Follow-up query...is anyone going to save any less with the TFSA limit reduced?


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## Moneytoo (Mar 26, 2014)

My Own Advisor said:


> Follow-up query...is anyone going to save any less with the TFSA limit reduced?


Not us - we still have a lot of unused RRSP contribution room (will take us few more years to catch up) and thinking to start putting 10K/year that was intended for TFSAs in our universal life insurance plan (until it starts paying for itself - need at least 50K for that; it's also tax-sheltered, but can only buy mutual funds via advisor in it - oh well, not the worst problem to have )


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## My Own Advisor (Sep 24, 2012)

True MoneyToo.

I was just curious to the forum, I know for us, the extra money we have this year will go towards our mortgage. Not the end of the world.


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## Soon Forget (Mar 25, 2014)

My Own Advisor said:


> I was just curious to the forum, I know for us, the extra money we have this year will go towards our mortgage. Not the end of the world.


Us too MOA, this means more onto our mortgage. I still would have preferred the option though


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## MoreMiles (Apr 20, 2011)

My Own Advisor said:


> Well that sucks...but they promised...and they are delivering. Heck, if politicians can keep up this level of integrity we'll be cookin' with gas.


Stupid Canadians deserve what they voted for.

It's takes a team of engineers to build a delicate TV but anyone can easily destroy it. I think those voters cheering for destruction need to have their head checked.


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## Getafix (Dec 29, 2014)

I'm assuming those that didn't deposit the full $10k this year can still contribute the extra $4500 in 2016?


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## GoldStone (Mar 6, 2011)

My Own Advisor said:


> Follow-up query...is anyone going to save any less with the TFSA limit reduced?


We are going to save more, thanks to the "middle-class" tax cut. Our family income is in the top 5%, maybe in the top 3%. The two of us will get the maximum possible tax cut times two, while low income folks will get nothing. I can't stop laughing at how stupid this is.


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## GoldStone (Mar 6, 2011)

Getafix said:


> I'm assuming those that didn't deposit the full $10k this year can still contribute the extra $4500 in 2016?


Yes. TFSA room carries forward.


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## GreatLaker (Mar 23, 2014)

My Own Advisor said:


> Follow-up query...is anyone going to save any less with the TFSA limit reduced?


I don't plan on increasing my spending, so the $4500 I can't put into my TFSA will have to go in non-registered savings, and I'll be taxed on the divvys or interest, which taxes I will pay for with my proceeds from the middle-class tax cut.

:stupid:


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## Moneytoo (Mar 26, 2014)

Sometimes I just love Garth lol:

«Meanwhile more experts came forth to say T2 must be already on the legalized weed if he thinks reaming the 1% with more tax will pay for a modest tax cut for the ‘middle class.’ This news landed just a week after Parliament’s indie budget guy said Liberal budgets will probably be twice what voters were told, which is more reason to accelerate widespread national toking.»

http://www.greaterfool.ca/2015/12/07/cause-effect/


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## FrugalTrader (Oct 13, 2008)

Finance Minister has confirmed that starting Jan 1/16, TFSA contribution limit will be $5,500 (2015 limit will remain untouched).https://t.co/n0HiA7sALu


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## carverman (Nov 8, 2010)

Getafix said:


> I'm assuming those that didn't deposit the full $10k this year can still contribute the extra $4500 in 2016?


Perhaps we will know the answer soon. Personally, I don't think anyone should be penalized on the extra $4500 contribution that CRA allowed , before Harper's tabled budget was passed, as that was unusual even for the CRA to allow the contribution increase for 2015. That resulted in some confusion whether to do it or not.

When the early election call came up, maybe the CRA was thinking that Harper would get back in, and it would get passed eventually,
or perhaps there was there some "backroom lobbying"on the part of the Conservative Party, convincing the CRA to allow it? 

Also there was the increased Universal child care benefit cheques that Harper was mailing out after June 30th. 
The increased benefit was dated back to the first of the year, well before the budget was even tabled.

http://www.news1130.com/2015/07/20/...ons-its-buying-votes-with-child-care-cheques/


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## Eclectic12 (Oct 20, 2010)

I'm not sure why it is question ... where the 2015 limit remains "untouched", it will be still granted. If unused, it rolls forward through one's lifetime.

I expect there would have to be some sort of notice in the ways and means that it was being clawed back to make any changes. This would setup a nightmare for the gov't so I don't expect they would go that route.


Cheers


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## Islenska (May 4, 2011)

Not unexpected, that is part of the electing package.

Always thought 10K was rather rich and odd when it was announced, so $5500 it is,,,,,


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## Tawcan (Aug 3, 2012)

My Own Advisor said:


> True MoneyToo.
> 
> I was just curious to the forum, I know for us, the extra money we have this year will go towards our mortgage. Not the end of the world.


I'm sure for people that saved the money already will use the extra money somewhere else.


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## scorpion_ca (Nov 3, 2014)

Fact sheet: 2016 Indexation adjustment for personal income tax and benefit amounts

http://www.cra-arc.gc.ca/nwsrm/fcts...-eng.html?utm_source=mediaroom&utm_medium=eml


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