The Smith Manoeuvre: A Canadian mortgage tax-deductible plan
The Smith Manoeuvre is a powerful financial method that gradually restructures the largest non-deductible debt of your lifetime (your mortgage) into a deductible investment loan.
Unlike our neighbours in the U.S., Canadians are unable to deduct mortgage interest when tax time rolls around each year. However, a financial method known as the Smith Manoeuvre allows Canadian home owners to transform their mortgage into a tax deductible investment.
The Smith Manoeuvre takes years to become fully functional, but yields multiple benefits. Those that choose this route will receive increased tax refunds, shave years off their mortgages and increase their net worth. It should be noted, however, that this method is not without its risks. Talk to an Ottawa Mortgage Broker to find out if the Smith Manoeuvre is right for you.