RRSP/TFSA Program Overview

One of the many steps that the Canadian Worker Cooperative Federation (CWCF) has taken to embody its vision is the development of a Self-Directed Registered Retirement Savings Plan (SD-RRSP) and Self-Directed Tax-Free Savings Account (SD-TFSA) Program. This program enables co-operatives and similar types of enterprises, including non-profits, to capitalize their ventures with securities held within Registered Plans. Our Plans are registered with the Canada Revenue Agency (CRA) and are fully administered by CWCF under an Agency agreement with Concentra Trust, and in accordance with CRA regulations.

CWCF is pleased that the SD-RRSP/SD-TFSA Program can be used by any co-operative, Community Economic Development Investment Fund (CEDIF), Community Economic Development Business (CEDB), Community Economic Development Corporation (CEDC) or non-profit organization (NPO) that has eligible shares, assuming that the company is approved for membership by CWCF. Membership approval is granted by CWCF’s Board of Directors.

IMPORTANT NOTE: As a result of changes to the rules governing RRSPs in 2011, it is only possible for co-operatives and similar entities to use CWCF’s RRSP/TFSA Program if each individual investor holds less than 10% of the value of each class of securities in the co-op. Investments in co-operatives and business corporations in the amount of 10% or more of the total shares were previously allowed, but have been declared “Prohibited Investments” in order to make it more challenging for individuals to engage in tax avoidance. The FAQ section and other information about CWCF’s RRSP/TFSA Program should be read in light of the fact that it applies only if investors will each own less than 10% of each class of securities.

For more information on Prohibited Investments, please visit:

Additional details can be found in the CRA’s Income Tax Folio regarding Prohibited Investments: https://www.canada.ca/en/revenue-agency/services/tax/technical-information/income-tax/income-tax-folios-index/series-3-property-investments-savings-plans/series-3-property-investments-savings-plan-folio-10-registered-plans-individuals/income-tax-folio-s3-f10-c2-prohibited-investments-rrsps-rrifs-tfsas.html

CWCF DISCLAIMER: As administrator of the Self-Directed RRSP and Self-Directed TFSA Plans, CWCF does not take any responsibility for the investments made by the Annuitant. CWCF does not provide investment advice regarding any of the assets held by the Plans, and acts solely on the Annuitant’s written instructions.