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I'm just starting out on my SM portfolio and had been looking at ETFs. It seems that all of them have a ROC distribution. XDV and XIU for example both do.

How do I ensure the LOC interest remains fully tax deductible? I had planned on building dividend income, to help pay down the mortgage inititially and hopefully grow into stable monthly income.

I have read alot of the information on MDJ, including key-tax-considerations-on-an-investment-loan, but am wondering if any of you use ETFs for your SM portfolio and how you handle the ROC?

I do plan on visiting an accountant to ensure I'm doing everything correctly. (Anyone have a recomendation for a Calgary tax accountant?)
 

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I think the problem with ROC comes when the investor starts withdrawing distributions. An accountant has indicated to me that if you leave the ROC within the investment account, the investment loan "should" be safe. However, you may want to double check with your own accountant to make sure.
 
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