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 Canadian Tax and
Financial Information 		Borrow to Invest Calculator

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 Copyright © 2012

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TaxTips.ca Calculators -> Borrow to Invest Calculator instructions

| Input and Results | Details |
Input data into the yellow input fields, tab to the next field.
Calculation may take several seconds after the Calculate button is clicked.
Calculator uses 2012 tax rates, known as of February 7, 2012.
Dividend gross-up % and dividend tax credit rates for 2012 are used for 2012 and later years.
1 Start year
2 Choose province or territory from drop-down list
3 Your approximate taxable income per year
4 Estimated annual % increase in income in future years
Borrow to purchase investments
5 Amount borrowed
6 Borrow the money over a period of how many years? (1 to 10)
7 Interest rate
8 Amortization period in years, starting after borrowing period (0 to 20)  
  - choose 0 years if you would like to pay only interest for the entire time
% of investments in:
9 Canadian stocks/ETFs eligible for enhanced dividend tax credit
10 Other stocks
Rates of return on investments
11 Estimated total annual return including capital gains and dividends
12 Dividend yield on Canadian stocks/ETFs eligible for enhanced dividend tax credit
13 Dividend yield on other stocks/ETFs
14 Average annual capital gains (unrealized until investments are sold)  
    - on Canadian stocks/ETFs eligible for enhanced dividend tax credit
    - on other stocks/ETFs    
15
 
 
16 Difference per year
17 A
18 Balance of investments B
19 Outstanding loan balance     C
A + B - C
50% of which is taxable at your marginal tax rate. Tax is not payable until investments are sold.

 

 

Revised: February 07, 2012

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