Do any Canadians own Shares in Princess Cruises (Carnival Corp)?

[Song in my heart]

I am wondering what the tax implications are for Canadians owning shares.  Can someone who has owned them for a couple of years help me out?  We are going on a few Princess Cruises that I would love to get the OBC.

[CanadacruiseRN]

I own shares inside my rrsp. So tax only when taking out $$$ for fun trips.  Shares have been good and you can have free onboard credit every cruise!

[Britter16]

Pretty sure you can put the shares in your RRSP. We had them for so long the on board credits paid for the shares and if you are military you get the same on board credit.

[Song in my heart]

4 minutes ago, Britter16 said:

Pretty sure you can put the shares in your RRSP. We had them for so long the on board credits paid for the shares and if you are military you get the same on board credit.

We are approaching the RRIF age.  I only served 8 years in the military.  

[denmarks]

delete

Edited January 27, 2020 by denmarks
original answer not applicable

[Croptop]

Like everyone else who has responded, I hold my Carnival shares inside my RRSP so there are no (current) tax implications for the dividends. However, if you were to hold them outside of an RRSP/TFSA, then I believe that the dividends -- which would be considered foreign -- would be taxed like regular income (i.e. fully taxable) and would not be eligible for the dividend tax credit like Canadian shares would.

 

I would suggest consulting your financial advisor for more specific details.

[Thrak]

44 minutes ago, Song in my heart said:

We are approaching the RRIF age.  I only served 8 years in the military.  

 

As long as you have your discharge papers (and don't have a dishonorable discharge) you are eligible for the military credit. Just submit a copy of the discharge - with your confidential info blacked out - and you are good to go.

[TeaBag]

I know this is about Carnival stock.  We own Royal Caribbean and we pay tax on the dividends we get each year.  I guess when we sell it, we will be in for a large capital gains tax since we did not put it in an RRSP.

[Steelers36]

1 hour ago, Song in my heart said:

I am wondering what the tax implications are for Canadians owning shares.  Can someone who has owned them for a couple of years help me out?  We are going on a few Princess Cruises that I would love to get the OBC.

 

Owning CCL shares is no difference to owning any other US-listed company.  I own several different US stocks, plus ETF's etc.  If you hold them in RRSP or TFSA, no tax implications on dividends earned.  When you withdraw from RRSP, any amount is taxed the same whether from a US stock or not.  Ours are in our TFSA's.  If held in regular investment account, then Capital Gains/Losses from a sale of the shares is taxed same as a Canadian-listed stock.  Dividends are treated as ordinary income and your brokerage will be withholding 15% tax on each payment to your account in all likelihood.  I won't go into the tax details, but you can get a tax credit for the foreign tax paid/deducted.

 

58 minutes ago, CanadacruiseRN said:

I own shares inside my rrsp. So tax only when taking out $$$ for fun trips.  Shares have been good and you can have free onboard credit every cruise!

YES

56 minutes ago, Britter16 said:

Pretty sure you can put the shares in your RRSP. We had them for so long the on board credits paid for the shares and if you are military you get the same on board credit.

YES.

50 minutes ago, Song in my heart said:

We are approaching the RRIF age.  I only served 8 years in the military.  

You can keep shares in a RRIF as well.

9 minutes ago, Croptop said:

Like everyone else who has responded, I hold my Carnival shares inside my RRSP so there are no (current) tax implications for the dividends. However, if you were to hold them outside of an RRSP/TFSA, then I believe that the dividends -- which would be considered foreign -- would be taxed like regular income (i.e. fully taxable) and would not be eligible for the dividend tax credit like Canadian shares would.

 

I would suggest consulting your financial advisor for more specific details.

YES you are correct about dividend treatment.

[Steelers36]

3 minutes ago, TeaBag said:

I know this is about Carnival stock.  We own Royal Caribbean and we pay tax on the dividends we get each year.  I guess when we sell it, we will be in for a large capital gains tax since we did not put it in an RRSP.

50% of the gain is taxable.

[Steelers36]

Great time to buy because stock is down solely due to Coronavirus (sp?) scare.

[Song in my heart]

54 minutes ago, Thrak said:

 

As long as you have your discharge papers (and don't have a dishonorable discharge) you are eligible for the military credit. Just submit a copy of the discharge - with your confidential info blacked out - and you are good to go.

Wow.  I will have to mail DND and ask for a copy of mu discharge papers.  Maybe I don't need tp buy shares after all.

[Song in my heart]

Thank you everyone for such quick informative responses.  I love cruise critic boards.

[voljeep]

2 minutes ago, Song in my heart said:

Wow.  I will have to mail DND and ask for a copy of mu discharge papers.  Maybe I don't need tp buy shares after all.

Princess allows you to 'stack' OBC - so you can get both ...🤑

[Song in my heart]

10 minutes ago, voljeep said:

Princess allows you to 'stack' OBC - so you can get both ...🤑

Really?  Oh my gosh.  That is amazing.  I will do that.  I don't know if I have time before my 14 day South Caribbean  cruise April 4th but hopefully for Princess 28 day run LA to Tahiti in October and definetly our 50 day Princess South America in Jan 2022.  Thank you so vey much.

[Thrak]

1 hour ago, Song in my heart said:

Wow.  I will have to mail DND and ask for a copy of mu discharge papers.  Maybe I don't need to buy shares after all.

 

Military Benefit for Veterans and Active/Retired Personnel

 

To thank the brave men and women of the American and Canadian militaries for their service, Princess Cruises offers up to $250 free onboard spending money* for veterans as well as active, retired or disabled military personnel. This special military benefit is eligible on any cruise, any time of the year and can be used to purchase a wide variety of amenities and experiences including Lotus Spa treatments; dining in our specialty restaurants; gifts, jewelry and clothing in our onboard boutiques; and Princess Cruises shore excursions.

6 days or fewer:  $50 per eligible person

7 - 13 days:  $100 per eligible person

14 days or longer:  $250 per eligible person
 

First and Second Passenger in Cabin ONLY

 

Edited January 27, 2020 by Thrak

[Song in my heart]

28 minutes ago, Thrak said:

 

Military Benefit for Veterans and Active/Retired Personnel

 

To thank the brave men and women of the American and Canadian militaries for their service, Princess Cruises offers up to $250 free onboard spending money* for veterans as well as active, retired or disabled military personnel. This special military benefit is eligible on any cruise, any time of the year and can be used to purchase a wide variety of amenities and experiences including Lotus Spa treatments; dining in our specialty restaurants; gifts, jewelry and clothing in our onboard boutiques; and Princess Cruises shore excursions.

6 days or fewer:  $50 per eligible person

7 - 13 days:  $100 per eligible person

14 days or longer:  $250 per eligible person
 

First and Second Passenger in Cabin ONLY

 

Thank you.  I have printed off the military personnel benefit onboard credit program and now have to contact Veterans Affairs Canada.

[JF - retired RRT]

15 minutes ago, Song in my heart said:

Thank you.  I have printed off the military personnel benefit onboard credit program and now have to contact Veterans Affairs Canada.

BTW: once your military benefit is in your account, you'll get it automagically for every cruise.

The shareholders has to be resubmitted for every cruise.

[smithmlmx]

If you hold them in a non registered account make a note of the U$ exchange rate when you buy them if you are trading using a US $ account. When they are eventually sold by you (or heirs) your tax return will calculate the capital gain/loss using your purchase price converted to Cdn $$ at the time of purchase and the selling price converted to Cdn $$ at the time of sale. Better to make a note now than having to track back in the future.

[bemis12]

4 hours ago, Steelers36 said:

Great time to buy because stock is down solely due to Coronavirus (sp?) scare.

 

This stock sure has more than it's share of great times to buy.........

[Daniel1313]

14 hours ago, Steelers36 said:

Great time to buy because stock is down solely due to Coronavirus (sp?) scare.

It closed at $45.27 on 1/27.   I would not say that’s a great bargain yet.

[Daniel A]

16 hours ago, Song in my heart said:

I don't know if I have time before my 14 day South Caribbean  cruise April 4th but hopefully for Princess 28 day run LA to Tahiti in October and definetly our 50 day Princess South America in Jan 2022.  Thank you so vey much.

You can submit proof of ownership of Carnival Stock as long as it is not less than 3 weeks before your cruise.  You can read the entire announcement here: 

https://www.carnivalcorp.com/static-files/50351a91-4dc0-4f6b-bfec-684647e6129f

 

[Song in my heart]

54 minutes ago, Daniel A said:

You can submit proof of ownership of Carnival Stock as long as it is not less than 3 weeks before your cruise.  You can read the entire announcement here: 

https://www.carnivalcorp.com/static-files/50351a91-4dc0-4f6b-bfec-684647e6129f

 

Good to know.  Thank you so much.

[Akaicb]

18 hours ago, Song in my heart said:

Really?  Oh my gosh.  That is amazing.  I will do that.  I don't know if I have time before my 14 day South Caribbean  cruise April 4th but hopefully for Princess 28 day run LA to Tahiti in October and definetly our 50 day Princess South America in Jan 2022.  Thank you so vey much.

If you have a CF1 card or your certificate of service, they will accept that as proof.  We used the certificate of service for my husband years ago and once it was on his account it automatically shows up each cruise we book.  

 

Another note for veterans and active military, Air Canada, Westjet and Air Transit all have different advantages that you can apply for with each with a valid CF1 card or proof of service.  From free baggage for yourself and travel partner to discounted bags/upgraded seats.  When we did our B2B in Alaska and packed way too much this saved us close to $300 in baggage fees.

[Song in my heart]

18 minutes ago, Akaicb said:

If you have a CF1 card or your certificate of service, they will accept that as proof.  We used the certificate of service for my husband years ago and once it was on his account it automatically shows up each cruise we book.  

 

Another note for veterans and active military, Air Canada, Westjet and Air Transit all have different advantages that you can apply for with each with a valid CF1 card or proof of service.  From free baggage for yourself and travel partner to discounted bags/upgraded seats.  When we did our B2B in Alaska and packed way too much this saved us close to $300 in baggage fees.

Wow.  I had no idea.  I wish I had not thrown everything out but at least I am supposed to get a new Veterans card within 90 days.  Thank you for this info on those airlines.  I will look into that as well.