16 — Wednesday, February 24, 1999 — North Shore News

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RRSP questions asked and answered

IS RRSP time — and time to answer som: of your RRSP questions.

“Can parents borrow from their RRSPs — with- out being taxed — to lend their children money to pay their school bills?” — F.O.

No. You may borrow from vour RRSP to pay only for your own education (or to Euy a home); you pay no tax as long as you repay the loan.

“Can you explain the three-year rule tor spousal RRSPs? Can a spouse have more than one spousal plan?” — QJ.

Yes, you may have several spousal plans. However, that won't help you escape the three-year rule, which says: If the spouse takes money out of a spousal plan, the

money matters

contributor, nat the spouse, must declare the withdrawal up to the amount the con- tribuctor put into any spousal plan for that year or the ova preceding vears.

The only exception is when the spouse converts the RRSP to an annuity or a minimum payment RRIF.

“What happens when you give the family cottage to your adult chiid? Or if you sell it, should you do this before changing an RRSP to a RRIF?” — LW.

business sSriefs

THE North and West Vancouver chambers of com- merce are presenting North Shore Women in Business, a forum for the exchange of success storics.

Featured in this year’s event are Suc Hammell, Ingrid Rice, Betty Thomas and Naomi

Yamamoto. Hammell was first elected in 199] and is currendy the minister of women’s equal- ity. Rice is a political cartoonist whose work appears in more

~ than 80 newspapers. Thomas is

the president of Thomas Special Effects and was recently named the B.C. Entrepreneur of the

ALL MAKE COLLUSION REPAIRS “LIFETIME GUARANTEE” Altemative transportation arranged

- | TALKING % Estimates x

YELLOW PAGES 7 me

Consultation 985-7455

Pustic Notice

MARK J. GEOGHEGAN

‘Mark J. Geoghegan of West Vancouver, BC, a -chartered accountant in public practice, offered his resignation as a member of the Institute of Chartered Accouritants of British Columbia, in face of an investigation into ailegations that he acted unprofessionally in the handling of his business assets during the period of his divorce and, acted as an officer ‘and director of a public company while sole owner of a‘company providing significant managerial and accounting services to the public company.

Mr. Geeghegan agreed not to apply for readmission fora minimum of five years and to pay $7,500 toward

the costs of investigation.

; , Council voted to accept Mr. Geoghegan’s resignation sp atits ‘meeting, of February 17, 1999. As a result of resignation, Mr. Geoghegan i is not entitled to use the

4 CA desi ignation. :

“| For more information contact : - The institute of Chartered Accountants of British ‘Columbia at >". (804) 681-3264 or 1-800-663-2677

Chartered Accountants of British Columbia

fF north vancouver

For tax purposes, giving the cottage is the same as selling it.

So if the value has increased, vou will have to Pay tax on at Teast same of the capital gain — even though you realized no money from transfer of title.

If vou sell the cottage, try to pick a vear when you are in the lowest tax bracket to minimize the capital gains tax.

“How can TF pay my wife to shift income from my high bracket ta her lower bracket?” — AS.

If she works in vour busi- ness (including revenue Property), vou may pay her what you'd pay an outsider to do those jobs.

If you can track invest- Ment income back to your wife’s (earned, inherited, won) capital, make sure she

Year. Yamamoto is the chair- man of the board of Capilano Community College. All four will share their tales of success on Friday March 5 11:30 a.m. to 2 p.m. at the Hollyburn Country Club. Call 987-4488 for more information or tickets.

— Robert Galster

- PRECISE. AGCURATE: *- GUARANTEED;

«income tax preparation * Money back guarantee eRefund within 24 hrs* °FREE electronic filing

232 Lonsdale Ave. 990-7707

pee etand/Drscounting Service toad oe rors, Retund less. ee)

deelares the investment income.

But you can rarely pay your wife to shift income to save tay if you are an employee with no self- emploved income.

“Should we add my wife’s name to the tithe of her mother’s principal resi- dence to avoid tax and pro- bate fees?” — LK. .

Get expert advice from an accountant or lawyer who specializes in this area.

Joint ownership can min- imize probate fees — but if not set up properly, ic can cause new problems includ- ing a possible income tax bill.

— Copyright 1999 Mike Grenby

Mike Grenby is. a colum- nist and independent person- al financial adviser; hell answer quzstions in this col-

VS] 5G3; e-mail

<mike@areniy.com> and see

previous columns at Mike's Veb site, <wamarenhy.com>.

umn as space aliows bus can- not reply personally, Contact

him at P.O. Bax 50029, South Slope R.P.0., Burnaby, BC.

Mortgage Lender

~# when the banks say “no” /¥ when speed counts / low rates and fees

“Celebrating our 15th Anniversary. Call me for a quote today”

687-2020

Lender Broker fees may apply

New Canada Savings Bonds Safe. Secure. And on sale now.

“CANADA SAVINGS BOND _-. , EMMEN

4.25%

YR. 1

NEW CAN ADAN SH

5.00% YR. 3 Annual compound rate of 4.58% for C-band if held for 3 years.

“4.50%

YR. 2

Canad

YOU'RE ON $0210 GROUND.

Series 58 and 7 are available until March 1 wheraver you bank or invest.

DEVELOPMENT SERVICES DEPARTMENT

FEBRUARY 25 - MARCH 3

made by phone:

.

city o

Development Services Department of the City of North Vancouver is renovating its offices and will be moving between February 25 - March 3. During this period, requests for inspection Services can be

983-7355 during office hours or 24-hour phone line: 985-5448

Development Services Department

City of North Vancouver

e heart off you's community

fon Bade.

We will make every effort to respond to your inquiries or requests by phone. - We are sorry for the inconvenience and thank you for your cooperation.

We are renovating to serve you better. - Thank you for your patience. you can reach us |,

City Hall

14} West 14th Steet, North Vancouner BC V7M_1H9

Phone: 985-7761 Fax: 985-9417