Contribution limit question | Tax Free Savings Accounts | Discussion forum

I don't completely follow what you have written.

However, any funds which you transferred DIRECTLY from one financial instuttion's TFSA to another one are protected. If the financial institutions arranged the transfer, the money remains legitimately in your TFSA.

But if you took the money out of the TFSA yourself, deposited it into a bank account, however briefly, you must wait until the next calendar year to re-deposit it into TFSA.

Any amount that is withdrawn from a TFSA by you is never "lost" as contribution room under current rules. You may re-deposit it the following calendar year. This includes any interest, income or profit earned on the money while it was in the TFSA. Whatever came out may go back in - the next year or in some future year.

This is different from the rules for RSPs. If you withdraw money from an RSP, it is gone forever, and you may not re-contribute it later unless it was under the home buying plan etc. Perhaps the person you were speaking to was thinking of RSPs.

julio, actually you wouldn't have $57,500 +XXXX for 2019, for 2019 you'd have whatever you took out in 2018, plus $57,500 less what you contributed in all years to the end of 2018, plus XXXX.