Q: Does this fund qualify for benefit as a Canadian Dividend fund?
Please explain rules to qualify for the dividend discount.
Thanks.
Please explain rules to qualify for the dividend discount.
Thanks.
5i Research Answer:
ETFs 'pass through' the tax consequences of their holdings to unitholders. The Canadian dividend tax credit only applies on eligible dividends from Canadian companies. QMAX owns no Canadian companies and thus no portion of its income qualifies.