Has the Hot Housing Market Changed Your Outlook?


Take a Vacation from Checking Your Portfolio

FHSA: Opportunities for High-Net-Worth Investors
• It may act as a significant intergenerational wealth transfer tool;
• For those who haven’t owned a home in the past four years, it may provide a tax-advantaged way to supplement retirement savings.

Consider also that, generally, contribution amounts not claimed as a deduction on an income tax return in the year made can be claimed in a future year — even beyond the FHSA’s closure. This may provide a substantial tax benefit if saved for future years when the holder’s marginal tax rate may be significantly higher.
To learn more about the FHSA’s potential benefits, please call the office. 1. cdn.nar.realtor/sites/default/files/documents/2021-highlights-from-the-profile-of-home- buyers-and-sellers-11-11-2021.pdf
Billions and Trillions: Unclaimed or Available
1. Have you fully maximized tax-advantaged accounts? By now, you have likely received your Notice of Assessment from the Canada Revenue Agency (CRA) for your 2022 taxes. Do you have available RRSP or TFSA contribution room? The latest statistics suggest there is over $1 trillion of unused RRSP contribution room available.1 Similarly, most TFSA holders have not maximized their contribution room.2
2. Do you have unclaimed assets? The number of unclaimed or forgotten assets continues to grow, serving as a reminder of the benefits of consolidating financial accounts to prevent assets from becoming orphaned over time. The latest reports suggest that $1.1 billion of unclaimed balances are held by the Bank of Canada. The CRA has 8.9 million uncashed cheques equating to over $1.4 billion. Does any belong to you? To search for unclaimed assets, see: www. unclaimedproperties.bankofcanada.ca/app/claim-search. Check your CRA “My Account” for unclaimed cheques at: www.canada.ca/en/ revenue-agency/services/uncashed-cheque.htmlactive.
3. Are you keeping in good standing with the CRA? Consider that the CRA’s prescribed rate, which is adjusted quarterly based on prevailing interest rates, currently stands at 5 percent.3 More prominently, the interest charged on insufficient or late instalments, other remittances and penalties, has risen to nine percent! This may be particularly notable for investors who make quarterly instalment payments or remit payroll taxes for a small business: Be on time to avoid costly interest charges!
The CRA continues to crack down on tax mishandling. Recently, it held back tax refunds for those who incorrectly claimed pandemic benefits, recovering $237 million.4 It continues to monitor real estate transactions to curb non-compliance for property sales and unreported capital gains, completing over 61,000 real estate audits. The Residential Property Flipping Rule that began this year is intended to support the CRA in clarifying a taxpayer’s obligations, with profits from the sale of a property held for less than 365 days generally treated as business income.
Complement Your Portfolio with Insurance

The Par Policy: Additional Benefits for HNW Investors


Dave Cooper, CFP®, CIM®
Senior Investment Advisor Portfolio Manager
780.484.5777
[email protected]
Tyler Cockbain, BA, CFP®, CIM®
Senior Investment Advisor Portfolio Manager
780.484.5777
[email protected]
Justin Nekechuk, B. Ed
Associate Investment Advisor
780.484.5777
[email protected]
Tower Wealth Advisory
212, 1524 91 St. SW, Edmonton, Alberta T6X 1M5
780.484.5777 ext. 1 or 891
Email: [email protected]
www.towerwealth.com
advisor.wellington-altus.ca/towerwealthadvisory/
The information contained herein has been provided for information purposes only. Graphs, charts and other numbers are used for illustrative purposes only and do not reflect future values or future performance of any investment. The information has been provided by J. Hirasawa & Associates and is drawn from sources believed to be reliable. The information does not provide financial, legal, tax or investment advice. Particular investment, tax, or trading strategies should be evaluated relative to each individual’s objectives and risk tolerance. This does not constitute a recommendation or solicitation to buy or sell securities of any kind. Market conditions may change which may impact the information contained in this document. Wellington-Altus Private Wealth Inc. (WAPW) and the authors do not guarantee the accuracy or completeness of the information contained herein, nor does WAPW, nor the authors, assume any liability for any loss that may result from the reliance by any person upon any such information or opinions. Before acting on any of the above, please contact me for individual financial advice based on your personal circumstances. WAPW is a member of the Canadian Investor Protection Fund and the Investment Industry Regulatory Organization of Canada.
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