Investors preserving their purchasing power by owning foreign assets must also pay a capital gains tax on this loss. Clearly, to create wealth and take advantage of savings, the investor should aim for long-term holdings and high rates of return. It is difficult to build a competitive country with this attack on wealth. Canada's great growth years of the 1950s and 1960s took place before 1972 when Canadians enjoyed NO capital gains tax. Portfolio turns over every three years.
Portfolio turns over every three years.
This means that assets will increasingly be owned by investors from lower tax regimes. The government must set up the RRSP vehicle as a measure for helping Canadians to look after themselves, not as a wealth creation vehicle. Proportion of real return paid to government. You can contact us at the above email address for any comments or information requests. Please report any dead links or technical problems.