tax-advantaged security
Registered Accounts
Diversify your Registered Investment Accounts into physical gold and silver bullion without triggering taxes! Pure Gold Silver Inc. has a program available for all Registered Savings Plans including RRSP, TFSA, LIRA, RESP, LIF, and RRIF. This program is a great way to use existing funds or new contributed funds to acquire investment grade gold and silver.
Lets Get Physical
Investment Strategy
As of 2005, the Canadian Revenue Agency (CRA) approved Registered Account holders to invest in physical gold and silver. Many investors appreciate the diversity, hedge, capital preservation, tax advantage and growth potential that comes with this strategy.
There are parameters set by the government on the purity, mint and storage of the bullion. PGS only deals with the highest purity and quality of product regardless of how the precious metals are purchased. Our team has been assisting with Registered Account transfers for over 12 years providing invaluable guidance through the process. When speaking to our customers we find that most Canadians do not know this is an option and are pleasantly surprised they can provide a stable counterweight to the rest of their portfolio.
Tax Implications
If existing Registered Account funds are being used to purchase gold and or silver, there will be no tax implications as you simply transfer the account. A transfer is not a withdrawal and therefore will not trigger any tax. This is one of the main concerns brought up by investors. All of the rules that apply to each type of account stay intact through the process including contributions, disbursements or withdrawals.
The Registered Account(s) will be held at Questrade through a self-directed account. The government requires a third party custodian to verify the purchase and report to CRA.
Account Types
There are several Registered Accounts eligible to invest into gold and silver. Whether a client is opening a new account or transferring an existing one, the contribution, reporting, tax implications and withdrawal rules apply. The most common accounts used are RRSP, Spousal RRSP, TFSA, LIRA, RRIF, LIF, and RESP.
Although TFSA accounts have been around since 2009 they are still not very well understood. Tax Free Savings Accounts are the opposite of an RRSP account. As most know, an RRSP account is funded with tax deferred dollars with 100% of the funds taxed at the holders tax bracket on the way out. TFSA accounts however are funded with taxed dollars that have NO TAX on the principal or the growth when taken out. This means that as long as you were 18 years old in 2009 you could have up to $81,500 in a TFSA and it could double and you will not owe any tax on the earnings. They should have been called Tax Free Investment Accounts. For more details and in depth information regarding these accounts contact us.
Withdrawing Precious Metals
Please see Questrade for more information as PGS does not handle fees associated with registered accounts.