No. You don’t have to pay taxes on the investment income you earn in a TFSA or on the amounts you withdraw. This can help you build your savings faster.

No. TFSA contributions and withdrawals do not impact any federal government assistance programs such as the Canada Child Benefit program or Guaranteed Income Supplement. This means that those who benefit from these programs can continue to use the TFSA to generate tax-free income without affecting their support under these programs.

You can hold many of the same investments you hold in your RRSP in your TFSA¹, including:

• Mutual funds
• GICs
• Stocks
• Bonds
• Exchange Traded Funds (ETFs)

In the event of a breakdown of a marriage or common-law partnership, a transfer can be made from one individual's TFSA to another individual's TFSA without implication for either person's contribution room. The transfer is made by the issuer of the TFSA. 

More information on the conditions governing individuals in this scenario can be found on the Government of Canada website.

If the account holder of a TFSA dies, there are two typical scenarios:

1. A designated successor holder (spouse or common-law partner) takes over as the holder of the TFSA. 
2. A designated beneficiary, which can be your estate, receives the distribution from the account.

Your TFSA will continue to grow tax-free if given to a successor holder. Often a successor holder can consolidate the TFSA with their own TFSA for simplicity of management. Or the TFSA can be maintained separately.

You can designate a successor holder and/or a beneficiary when you set up your TFSA at TD.

A TFSA means you won't be taxed on any of the growth or income earned within the account. Which means your savings can grow even more. Want to know by how much? Use our TFSA Calculator to calculate now.

For more information on TFSAs and how you can reach your savings goals, you can book an appointment and visit a branch at a time that’s convenient for you.

Already have an EasyWeb account? Apply online and fill out an online application if you already have a TD Canada Trust chequing or savings account.