Investing

TDDI now allows in kind transfers online

  • Last Updated:
  • Jan 7th, 2018 6:23 pm
Deal Fanatic
Apr 11, 2012
5865 posts
3138 upvotes
Winnipeg

TDDI now allows in kind transfers online

You can now contribute securities to your TFSA, RSP or RESP in WebBroker!
Click here to see what we've done
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12 replies
Sr. Member
Mar 15, 2011
559 posts
194 upvotes
Toronto
I tried jan 2 and there was no in kind contribution feature.
Tried the last 2 days and dont see the us dollar conversion rate, its equating the us dollars to canadian.
So if l go ahead whose fault is it if l over contribute?
Deal Addict
Jan 5, 2006
1054 posts
253 upvotes
Mississauga
You can do it yourself on-line, but if you call into the call centre, you can choose any price within the day rather than the closing price. I always choose the low of the day, so I call in ;)
"If one's conviction is strong enough whether you're a bear or a bull, you should put your money where your mouth is. Otherwise, you don't have skin in the game, and you are nothing more than a cheerleader in the stands" - SamInfinity
Deal Addict
Oct 12, 2014
1051 posts
201 upvotes
Ajax
What does a contribution in kind allow you to do? Transfer money between RRSP and TFSA and not count it as a RRSP withdrawal?
Deal Addict
Jun 10, 2008
1206 posts
392 upvotes
yellowlight18 wrote: What does a contribution in kind allow you to do? Transfer money between RRSP and TFSA and not count it as a RRSP withdrawal?
Allows you to transfer stocks in your non-registered account to these reg. accounts directly without having to sell them first and transfer cash and then re-buy the same stock in your registered accounts.
Deal Addict
Oct 12, 2014
1051 posts
201 upvotes
Ajax
barricuda wrote: Allows you to transfer stocks in your non-registered account to these reg. accounts directly without having to sell them first and transfer cash and then re-buy the same stock in your registered accounts.
Could I transfer the same securities from TFSA to RRSP directly in-kind?
Deal Fanatic
Jan 21, 2014
8519 posts
6261 upvotes
Doesn't work for me. when I tried it from my non-registered accounts, it said "you have no eligible 'to account'...". If I tried from registered accounts, it said "you have no eligible 'from account'..."
Sr. Member
Oct 14, 2012
954 posts
728 upvotes
Woodstock
Be aware that if you transfer in kind from a non-registered account to a RRSP, you will be taxed as if you had sold the stock. It's called a "deemed disposition."

If it would have created a capital loss, though, it cannot be claimed!

And if it would have created a capital gain you will be taxed as if you had sold it and made the gain.

So while it is convenient and avoids the fees for the sell/buys, be aware it has tax implications.
Deal Addict
Feb 26, 2017
2902 posts
4581 upvotes
mkl38s wrote: Doesn't work for me. when I tried it from my non-registered accounts, it said "you have no eligible 'to account'...". If I tried from registered accounts, it said "you have no eligible 'from account'..."
You probably need to call then (sounds like its a good idea anyway as you can take the days low rather than the close price). I did an in kind transfer through web broker from my Cash > TFSA last week.
Deal Addict
Jun 10, 2008
1206 posts
392 upvotes
yellowlight18 wrote: Could I transfer the same securities from TFSA to RRSP directly in-kind?
Checked my account.... only non-registered accounts are available in the "From Account" section of the "Contribute in Kind" transfer feature.
Sr. Member
May 18, 2017
597 posts
559 upvotes
Toronto, Ontario
This is taxed? I asked my HSBC rep if I could transfer mutual funds into my rrsp from my non registered account... She said I could do that without any tax implications. This was in early 2017 too.... Guess I might be getting a call from the CRA.
Sr. Member
Oct 14, 2012
954 posts
728 upvotes
Woodstock
It depends whether your mutual funds had a higher value than their book value. If so, when you file your income tax return in 2018 for 2017, you are expected to claim the capital gain on the deemed disposition and pay tax on it. (usually you will pay tax at your regular rate on 50% of the capital gain.) If your mutual fund was worth less when you transferred it than when you bought it, you do not have to report anything on your tax return, especially since they will not allow you to claim the capital loss. Depending on the fund in early 2017, it may have been in a loss position. Some TXS-index type funds were in the red near the beginning of the year. You'd have to look at the book value and actual value on the date you made the transfer.

Of course you will also have a reduction in income tax payable because you made a contribution to your RRSP. That reduction may well cover any tax on the capital gain.

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