OTCPK:ICPVF - Post by User
Comment by
SargeXon Feb 06, 2020 2:14pm
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Post# 30653330
RE:RE:RE:RE:RE:RE:RE:RE:THIS IS A DIVIDEND POWERHOUSE
RE:RE:RE:RE:RE:RE:RE:RE:THIS IS A DIVIDEND POWERHOUSE Hey Red
Very interesting. I've never bothered looking at the higher brackets as my wife and I try and avoid OAS clawback so stay in the 2nd bracket.
I did another test at a net income of $102k and in Ontario, caps are indeed better with a marginal rate of 21.7% vs 26.3% for divys.
Interestingly, in Alberta (where we live), at $102k net income, divys are still better at 15.1% vs 18% for caps.
Also very interesting how much better the AB marginal rate on divys is than in ON with the higher net income. I know ON is better than AB are the lower et incomes.
Take her easy
Sarge
Red_Deer wrote: SARGE__unfortunately when you go Further UP the scale on Taxable Net Incomes you WILL eventually find that the Capital Gains rate ends up being LESS than the Dividend Income rate.
Oh and there also is a NASTY Beast called MININIMUM TAX lurking in the background__which again seems to NOT like an ALL Dividend Sourced Net Income.