| before 1992 | 69 500 $ |
| 1992 | 64 500 |
| 1993 | 59 500 |
| 1994 | 54 500 |
| 1995 | 49 500 |
| 1996 | 44 000 |
| 1997 | 38 500 |
| 1998 | 28 500 |
| 1999 | 23 000 |
| 2000 | 17 500 |
| 2001 | 12 000 |
| 2002 | 6 000 |
| 2003 or later | 0 |
You can withdraw funds from a TFSA at any time with no tax cost, and the amount you withdraw becomes available to re-contribute, but only from the following January 1. If you recontribute too soon, a penalty tax applies.
Do not swap securities in or out of your TFSA, i.e., in exchange for money or securities in other investment accounts. Severe penalties apply to a “swap transaction”.
Also, do not do too much active trading in your TFSA. If you buy and sell securities all the time, the TFSA may be considered to be “carrying on business”, and then it loses its tax exemption and will have to pay tax, as a trust, at the highest tax rate that applies to individuals (something in the 50% range, depending on your province of residence). And you will be personally liable for that tax, so the CRA can assess you to collect it if the TFSA doesn’t have sufficient assets to pay.
The line between owning stocks as capital investments and holding them for trading as a business is not always clear. At one extreme, if you just buy or sell a stock once a month there should be no problem. At the other extreme, if you are trading almost every day and holding stocks for only a few days at a time, that will be considered carrying on business and the TFSA will be taxed.
So be careful about this!