GREY:SGLRF - Post by User
Comment by
skygardenon Jul 09, 2013 12:58pm
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Post# 21596631
RE:Dividend is a free gift to the goverment
RE:Dividend is a free gift to the goverment Just to point out dividends are actually one of the most tax efficient ways of receiving investment income. If memory serves me correctly, in Ontario an individual could pay no tax and only the $600 Provincial Health premium on dividends of about $49,000 per year (assuming no other income). The only negative I've heard about dividends is that it may claw back certain pension income or other benefits as the actual dividend is multiplied by 138%.
Also by using the Dividend Reinvestment Program with Avenex and now Spyglass I have managed to bring down my break even point from $5.71 to $3.70 (each month it reduces by about 0.05 cents-depending on the share price).
I'm sure no one is happy with the share price, but there is a benefit for those who utilize DRIP (more shares are received when the share price is lower). The only other option is to sell out and take the loss which I'm sure no one would want.
A lot of people (including myself) were not happy with the way the merger went through, but the question now is: How best to move forward?