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Part IV — Tax on Taxable Dividends Received by Private Corporations

Refundable tax on dividends received by private corporations from other corporations, designed to prevent indefinite tax deferral through corporate chains.

s.186

Part IV tax — refundable tax on dividends paid between private corporations

Tax on taxable dividends

Part IV imposes a 38.33% refundable tax on dividends received by a private corporation from a connected or non-connected payer, designed to…

Educational use only

Summaries are simplified explanations of the Act. They do not constitute legal or tax advice. The authoritative text is the Income Tax Act on Justice Canada .