Make the most of tax breaks for equities

Capital gains and Canadian dividends get preferential treatment.

Matthew Elder 11 April, 2016 | 5:00PM

Equity profits have been hard to come by lately. So it's more important than ever to ensure you are making the most of the tax breaks available on the capital gains and losses you report following the sale of a security, and on dividend income.

With the deadline for filing 2015 income-tax returns drawing near, it's time to make sure you have all the information needed to ensure you pay as little tax as possible on last year's investment income. It's also an opportunity to review your situation from a taxation standpoint and adjust your strategy and portfolio with an eye to reducing your tax bills in future years.

A stock investment generally produces two types of income that must be reported on your tax return: capital gains and dividends.

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Matthew Elder

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