Ontario Ministry of Finance – Dividend Tax Credit
Description:
The Ontario Dividend Tax Credit is intended to compensate individual shareholders for income tax paid by Canadian companies in which they have invested. Individual investors pay personal income tax on dividends, which are paid from corporate earnings that have already been taxed. The purpose of this tax credit is to avoid this double taxation.
Comments on Funding:
This Ontario Ministry of Finance tax credit offers two rates:
- 10% for eligible dividends (received from Canadian public corporations and other corporations resident in Canada that are subject to the general corporate tax rate);
- 2.9863% for other Canadian dividends (received from Canadian-controlled private corporations subject to the small business tax rate)
Eligibility:
Applicants must:
Applications Steps:
Documentation Needed:
Applicants must submit form ON428.
Program Contact:
When It Ends:
Ongoing
Deadline:
Rolling deadline