Rachel wants to know which statement is true with respect to investment income.

a.

Interest income is not reported on a T5 tax slip as it is the responsibility of the taxpayer to estimate this income and report it on their personal income tax return.

b.

Tax is due on interest income in the year it is received, not the year it is earned.

c.

Dividend income from foreign corporations and interest income are taxed the same (as such dividend income does not receive the gross-up and dividend tax credit as Canadian dividend income does).

d.

Dividend income from Canadian corporations and interest income are taxed the same.