Comment 112142

By What (anonymous) | Posted June 09, 2015 at 17:05:57 in reply to Comment 112141

The top dividend federal tax rate in Canada is 21.22% on non-eligible Canadian Dividends. On top of that is the provincial tax which is taxed at the full marginal rate but then you get a dividend tax credit. It is complicated but overall the top marginal dividend tax is about 38.6% On top of that, corporations pay income tax on income earned that is not sent out as a dividend at 11 to 18% so arguably the top tax rates on business derived income whether it be dividend or not is between 49 and 56%.

For an individual, rental income is taxed as income. There is no break given so it is taxed at whatever marginal rate the earner pays.

I think you are confused.

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