Glossary -> In-Kind Transactions
In Kind Transactions
In kind means using assets instead of cash for some purpose.
The advantage of in kind transactions is that the investments do not have to be sold.
In Kind Donations
Donations can be made in kind, by donating securities instead of cash, resulting in the elimination of capital gains taxes on any gains.
In Kind Contributions
In kind contributions to a registered retirement savings plan (RRSP), registered disability savings plan (RDSP) or tax free savings account (TFSA) can be made by transferring investments into the account. Make sure this is not done using investments on which you have a loss, because the loss will be disallowed.
See our article Transfer shares to your registered account, but not at a loss.
In Kind Withdrawals
Withdrawals can be made in kind from an RRSP or a registered retirement income fund (RRIF) by transferring out investments. See our article on this topic.
In Kind Transfers RRSP to RRIF
When an RRSP must be converted to a RRIF, all of the RRSP investments can be transferred in kind to the RRIF.
Revised: January 10, 2021
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