posted on 06-06-2019

Stock Savings Plan

Updated October 1, 2019

What it is:

A stock savings plan is a Canadian taxation system that offers tax benefits to Canadian residents who purchase the initial public offerings (IPOs) of local companies.

How it works/Example:

Each Canadian province has its own stock savings plan. For example, Canada's Quebec province has the Quebec Stock Savings Plan, which provides tax credits to residents of Quebec who purchase new issues of stock from companies located in Quebec.

Why it matters:

Stock savings plans are an effort by the Canadian government to stimulate regional economic growth. This is accomplished by offering tax incentives to those who provide capital funding to new companies by purchasing the IPOs of local companies.



Related Terms

tax benefits
public offerings
tax credits
new issues
stock
offering
capital
5 Credit Cards That Will Pay You Hundreds Just For Signing Up (2019)
by Christian Hudspeth What's even better than earning rewards for spending on your credit cards? Getting paid hundreds of dollars worth in sign-up bonuses in three months or sooner -- just for tr...
The Top 4 Balance Transfer Credit Cards for 2019
by Christian Hudspeth Tired of dragging credit card debt around with you? Taking 15 minutes to transfer your debt to a credit card with generous balance transfer perks could save you thousands in...
The 5 Best Rewards Credit Cards for 2019
by Christian Hudspeth If you're going to spend money anyway, then why not get paid for it?Whether you're looking for credit cards with up to 6% cash back, double flight miles, or even a free hote...
How a CD Ladder Strategy Can Boost Your Income as Interest Rates Rise
by Christian HudspethIn times where interest rates are on the rise, you may start hearing financial advisors and bankers sing the praises of an income strategy called "CD laddering" (short for ce...
Should You Sell Your Own Home or Use a Realtor?
by Susan Campbell Those of us familiar with selling property know real estate agents don't come cheap. With real estate agent commission and fees amounting to as much as 6% of the sel...
6 Secrets to Saving Money On Your Balance Transfer Credit Card
Beverly Harzog is a nationally recognized credit card expert, author, and consumer advocate. She blogs about credit cards at BeverlyHarzog.com. Being in credit card debt is the pits. I've bee...
The 4 Worst Home Refinancing Mistakes People Make (and How to Avoid Them!)
by Christian Hudspeth If you haven't already felt the pressure to refinance your mortgage, you're probably really feeling it now. Mortgage rates are still hovering near historic lows. But ...
Closing on a Mortgage? This Sneaky Lender Trick Could Cost You Thousands
by Christian Hudspeth If you or someone you know is thinking about getting a home mortgage, you may want to know about the thousands of dollars in hidden charges that some lenders are quietly...
Money Market vs Savings: Which Account is Best for You?
by Christian Hudspeth Money market accounts (MMAs) and savings accounts make great places to set aside your emergency fund money and earn some interest income at the same time.Simply put, these s...
4 Situations When a Personal Loan is a Good Idea
by Christian Hudspeth It's true that auto loans and home loans offer attractively-low annual percentage rates (APRs), while credit cards offer borrowing power without the risk of ever seeing the ...
5 Things to Know Before Opening a CD
by Christian HudspethWant to keep your emergency fund safe while earning interest yields that are three to five times higher than a typical savings account? Putting your money into an FDIC-insure...
The Best Way to Start Investing When You're Young
by Christian Hudspeth Question: Hi there. I need your advice. I'm only 19 and I really need to start investing. Where can I start? -- Tirelo M., Gaborone, Botswana Answer: You've defini...
Submitted by Anonymous on Thu, 06/06/2019 - 07:17
Copyright © 2019. InvestingAnswers, Inc. All Rights Reserved