April 19, 2023.
Lynn MacNeil, Associate Investment Advisor, Associate Portfolio Manager with Richardson Wealth writes that the new First-Home Savings Account (FHSA) has some attractive features.
“This FHSA opens up new opportunities for tax saving strategies as long as you have never purchased a home, and even if you don’t plan to. [It] also creates opportunities to pull money out of RRSPs tax-free without the need to repay the withdrawals as in the case of the Home Buyers’ Plan, assuming you do buy a home.”
“…not only can you deduct your contributions from your income, thereby reducing your taxes, but the amount in the plan can be withdrawn for a first home purchase with no taxes and doesn’t have to be repaid.”