Terra Tax Savings Calculator
Consult your Financial Advisor to ensure this investment is suitable for you.
Taxable income is gross income (salary, bonus, pension or interest income, 50% of a capital gain etc.) less RRSP deductions, interest expenses, etc & exemptions. Investment income for a CCPC includes interest income, foreign dividend income, rental income & taxable capital gains.
NAV on Redemption is the expected future value of the investment expressed as a percentage.
|Cash Flow & Rate of Return||Year 1
|Years 3 - 5
|Annual Tax Savings 2|
|NAV on Redemption||-||-|
|Capital Gains Tax on Redemption3||-||-|
|Cash Flow - $|
|Cumulative Return - $|
|Rate of Return - %|
Rate of return for is calculated as the total Cumulative Return for divided by the Capital at Risk in year 1 for .
1 Rollover is targeted for June in the 2nd calendar year. 2, 3 See following tables.
|2 Tax Savings||Year 1
|Years 3 - 5
|A. CEE & Other Deductions|
|B. Average Tax Rate 4|
|C. Tax Savings - CEE & Other ( A x B )|
|D. Tax Savings - METC 5, 6||-|
|E. Tax Savings - CMETC 5, 6||-|
|Annual Tax Savings ( C + D + E )|
4 Average tax rate is the average rate over multiple income tax brackets & determines the value of CEE & Other deductions.
5 METC is the federal 15% Mineral Exploration Tax Credit; CMETC is the federal 30% Critcal Mineral Exploration Tax Credit.
6 METC & CMETC are only available to individuals (and not corporations) and taxable as income in year 2.
|3 Capital Gains Tax on Redemption||Year 2
|A. NAV on Redemption|
|B. Less: Eligible Capital Loss Carry Forward|
|C. Net Taxable Capital Gain ( A - B )|
|D. Tax Rate on Capital Gain (50% inclusion rate)|
|Capital Gains tax on Redemption ( C x D )|