Starting in 2009, Canadian residents who are 18 years of age or older are able to earn tax-free investment income within a Tax-Free Savings Account (TFSA) during their lifetime. Contributions to a TFSA are not deductible for income tax purposes. Also, interest on money borrowed to invest in a TFSA is not tax deductible. However, the income generated in such an account (for example, investment income and capital gains) is tax-free, even when it is withdrawn.
Every Canadian citizen who is age 18 or older and files an income tax return is eligible to contribute to a TFSA.