Assume I get 0 income and my Capital Gain doesn't fall. I live in ON. Call F the maximum federal ($12069 in 2019), and P the maximum provincial ($10582 in 2019) basic personal amounts. Retirement benefits are like CPP, GIS, OAS. After I maxed my TFSA and RRSP, I opened regular investment account.
I want realize Capital Gain of $90 000 NOT in TFSA or RRSP. I know 50% capital gain is taxed. To avoid tax, I sell (min(F, P) – Mandatory minimum RRIF Withdrawals – Retirement benefits)/0.5 every year of my investments until I realize $90 000. CRA's foxy and can figure out my tax avoidance. Will CRA punish me?