For each term indicate the best definition or that none apply

Disappearing Source Rules -

Dividend Gross Up -

Net Property Income -

Eligible Dividends -

Property Income -

Stock Dividend -

Dividend Tax Credit -

A) A pro rata distribution of a corporation's shares to its existing shareholders.

B) The net of inclusions less deductions, related to property income, with all amounts determined as per Division B, Subdivision b, of the Income Tax Act.

C) Income that is earned through the passive ownership of property.

D) None of the definitions apply. (This answer can be used more than once.)

E) Dividends that have not been designated by the payor as eligible for the enhanced gross up and tax credit procedure.

F) Rules designed to provide relief to investors who have borrowed money to make an investment and subsequently sold the investment for less than the related borrowings.

G) A credit against the tax payable of an individual or trust. The amount is based on a fraction of the dividend gross up that has been included in net income for tax purposes.

H) Dividends that have been designated by the payor as eligible for the enhanced gross up and tax credit procedure.

I) An amount that is based on a percentage of the dividends from taxable Canadian corporations that have been received by an individual or trust.

J) An amount that represents compensation for the use of money, is calculated with reference to a principal sum, and that accrues on a continuous basis.

Answer rating: 100% (QA)

Disappearing Source Rules F Rules designed to provide relief to investors who have borrowed ... View the full answer