Podcast
Questions and Answers
Which loan is considered for tax deduction purposes when calculating Amelia's taxable income?
Which loan is considered for tax deduction purposes when calculating Amelia's taxable income?
- None of the loans are considered
- Loan for the RRSP investment
- Loan for the non-registered Canadian mutual fund (correct)
- Both loans are considered
If Amelia has no other deductions, what will be the impact of deducting her loan interest payments on her taxable income?
If Amelia has no other deductions, what will be the impact of deducting her loan interest payments on her taxable income?
- Her taxable income will decrease by $2,000
- Her taxable income will increase by $3,000
- Her taxable income will decrease by $3,000 (correct)
- Her taxable income will remain the same
If Amelia's total income this year is $50,000, what will be her taxable income after deducting the interest paid on the loans for investment?
If Amelia's total income this year is $50,000, what will be her taxable income after deducting the interest paid on the loans for investment?
- $47,000
- $48,000 (correct)
- $49,000
- $50,000
What impact will the deductions of interest paid on loans for investment have on Amelia's tax liability if her marginal tax rate is 30%?
What impact will the deductions of interest paid on loans for investment have on Amelia's tax liability if her marginal tax rate is 30%?
Assuming Amelia makes an additional $3,000 investment in her RRSP, how will this affect the deductibility of the interest payments on her RRSP loan?
Assuming Amelia makes an additional $3,000 investment in her RRSP, how will this affect the deductibility of the interest payments on her RRSP loan?
Who among the following policyholders opted to invest their policy dividends in a side account for potential additional growth?
Who among the following policyholders opted to invest their policy dividends in a side account for potential additional growth?
Which policyholder used their annual policy dividend to purchase one-year term insurance without proof of insurability?
Which policyholder used their annual policy dividend to purchase one-year term insurance without proof of insurability?
Who among the policyholders reduced upcoming premium payments by using their annual policy dividends?
Who among the policyholders reduced upcoming premium payments by using their annual policy dividends?
Which policyholder opted to use their yearly policy dividend as a single premium to purchase supplemental whole life coverage that is fully paid?
Which policyholder opted to use their yearly policy dividend as a single premium to purchase supplemental whole life coverage that is fully paid?
Amelia has taken a loan to invest in a non-registered Canadian mutual fund portfolio and paid $2,000 in interest on that loan this year. She has also taken a loan to invest in her Registered Retirement Savings Plan (RRSP) and she has paid $1,000 in interest on that loan this year.
What will Amelia be able to deduct from her taxable income?
Amelia has taken a loan to invest in a non-registered Canadian mutual fund portfolio and paid $2,000 in interest on that loan this year. She has also taken a loan to invest in her Registered Retirement Savings Plan (RRSP) and she has paid $1,000 in interest on that loan this year. What will Amelia be able to deduct from her taxable income?
