Alaris Equity Partners Income 5 50 convertible unsecured subordinated Debentures T.AD.DB

2020 distribution characterized as....

[CanSiamCyp]

.... 22% RoC, 1% CG, 7% DIV, 70% OTH. Cheers!

[TickerTwit]

Much appreciated. If unsheltered, the allocation below implies that 81.5% of the payout is now taxed at the unitholder's marginal tax rate. .

[CanSiamCyp]

Actually 70% is taxed at the marginal rate, the minor CG component at half the marginal rate, and the 7% DIV is eligible dividend so there is a dividend tax credit. The 22% RoC is used to reduce the ACB of the holding.

[TickerTwit]

70% immediately for "other", 0.5% immediately for capital gains, and 11% future capital-gain liability, so 81.5% in total at marginal rate. The liability is unavoidable, but in a lower-income future there may be opportunity to realize it at a lower marginal rate. The effective tax rate on the 7% dividends takes too long to write out .. so I didn't :). But the upthrust of it all