Hoov offered these comments on TFSA yesterday. He suggests that you can transfer a TFSA to "close family memebers" without tax consequences.

Not sure if he knows this as a fact or just rumor?

How do they define close family members????

Hoov wrote:

RR, I would argue that you don't have returns in your TFSA unless and until you sell something. A TFSA is the most valuable component of my own portfolio. I'm only upset that it was implemented so late in my life. It blows RRSPs right out of the water. With an RRSP, your contribution room once used is gone. If you ever cash any of it in, you've lost that investment potential forever. And unlike an RRSP, you can hold a TFSA for your entire lifespan. No conversion to a RRIF. Furthermore, any withdrawals from a TFSA do not affect any entitlements to other income, like CPP, or old age security programs. And I believe that there will be the possibility to transfer the assets of your TFSA to close family members upon your passing, without triggering estate taxes or deemed disposition of the assets.

SN