Deductible Debt and Spousal Loans
When funds are borrowed for purposes of earning investment income or to invest in a business, the interest owed on the funds borrowed can be deducted for tax purposes. Where funds are borrowed for purposes other than investing, the interest is not tax deductible. One of the most common types of non-deductible investing occurs when a mortgage is used to help finance the purchase of a home. Borrowing to invest in an RRSP, RRIF or other tax deferred arrangement also results in the debt being non-deductible. Discover more
Finding Calm in the Eye of the Storm
For anyone who is following or is invested in the financial markets, it is pretty evident that the volatility in the markets has been and continues to be unprecedented. As the pace of change continues to accelerate, it should come as no surprise that capital markets would reflect this. Interestingly, in 1970, Alvin Toffler wrote a book entitled Future Shock, which suggested that the harrowing acceleration of technological progress in the new millenium would cause increased confusion and disorientation within society. Discover more
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