Useless shares can be written off for gain

Question:
I purchased some Las Maderas Mining and Petroleum Ltd. Shares back in the mid-70s and I can no longer find them listed in the newspaper.
Can you tell me what has happened to them and if they are worth anything now?
M.D., Abbotsford

Answer:
The company was dissolved and struck from the register on August 30, 1976. Unfortunately, the shares are now worthless. You may be able to claim a capital loss for income tax purposes on these shares and should speak to your accountant.

Question:
Last year, I purchased mutual funds. Will I be getting a tax slip for them and from who?
R.S., Mission

Answer:
If distributions (interest, dividends and capital gains) are paid out by the fund company to its unit holders, a T-3 form for income tax purposes will be mailed directly to them or you by the fund company.

If you haven’t received this T-3 form, you should give the mutual fund company a call. It is very important that you hold onto these tax forms, and I recommend to all my clients that they start a binder of all the paperwork they receive on their portfolios.

Question:
I am approaching retirement, could you explain the options I have?
P.S., Abbotsford

Answer:
You have three options for your RRSP upon retirement.

Firstly, you could withdraw the whole amount in a lump sum
The problem with this strategy is that the tax would be very prohibitive.

Secondly, there is a registered retirement income fund. With the RRIF, you would have a minimum amount which you would have to withdraw every year. The main advantage with this is the flexibility you have with the money.

Thirdly, there is an annuity.
An annuity in many respects is the opposite of a mortgage.

An annuity is a product whereby you yield control of your money to an insurance company who would guarantee you a monthly income. An annuity in some cases may provide a higher income due to mortality factors.