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On this blog, we will focus on Budget 2018’s proposal with regards to the Refundable Dividend Tax on Hand or RDTOH. Refundable Dividend Tax on Hand or RDTOH: Budget 2018 proposes that a refund of RDTOH be available only in cases where a private corporation pays non-eligible dividends. An exception will be provided in respect of RDTOH that arises from eligible portfolio dividends received by a corporation, in which case the corporation will still be able to obtain a refund of that RDTOH upon payment of eligible dividends. With regards to RDTOH Recapture – Connected Corporations: Currently, if a corporation obtains...
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