Page 87 - A Canuck's Guide to Financial Literacy 2020
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value after your death, the increase in value would be considered a taxable amount and
would be reported on T4A slip and would be included in their income for the year of receipt.
Your spouse must transfer your TFSA into her TFSA by December 31st of the year after
death. The market value at the date of death would be considered "exempt amount" and
would not impact their TFSA room.
Designating Estate as Beneficiary
If you decide not to name a beneficiary, the default option would be "estate". If estate,
probate fees would be payable to the particular province of residence in order to validate
the will and distribute the TFSA proceeds accordingly to the beneficiaries of the will. Growth
in the TFSA after the date of death would be taxable to the estate.
