Tax‑free savings account (TFSA)
Earn tax‑sheltered investment income!
The tax‑free savings account (TFSA) is a smart choice to help you achieve your savings objectives. Whether you are saving to achieve a specific goal, accumulating funds for your retirement in addition to your RRSP or setting aside part of the income you are withdrawing from your RRIF, the Épargne Placements Québec TFSA is a judicious component of your investment strategy.
In addition to its tax benefits, the Épargne Placements Québec TFSA offers:
- Products well adapted to your TFSA portfolio.
- Attractive interest rates.
- No management or administration fees.
- A quarterly portfolio statement that allows you to effectively manage your investments.
- Investments fully guaranteed by the Québec government, regardless of amount or term.
Moreover, for any amount of $1 000 or more transferred into one of our registered accounts and invested in a term product, you receive a refund of transfer fees of up to 5% of the amount transferred, to a maximum of $150.
The TFSA is a savings vehicle that enables investment income to be accumulated free of tax. The main features of this account are:
- Unlike an RRSP, contributions to a TFSA are not tax‑deductible.
- Interest accumulated in a TFSA and amounts withdrawn from it are not taxable.
- Since 2009, contribution room for the TFSA has accumulated each year if, at any time during the calendar year, you are 18 years of age or over and are a resident of Canada.
- The maximum annual contribution is being increased according to the inflation rate, rounded to the nearest $500 dollars. Here is the annual TFSA contribution limit, by year, since the account was established in 2009:
|2009 to 2012||$5 000|
|2013 and 2014||$5 500|
|2016 to 2018||$5 500|
|2019 to 2021||$6 000|
To be eligible for the Épargne Placements Québec TFSA, you must:
- be domiciled in Québec;
- be an individual 18 years of age or older;
- have a valid social insurance number (SIN).
To learn more about the Épargne Placements Québec TFSA, check out our frequently asked questions.