Dividend Tax Calculator 2025
Calculate the tax on Canadian dividends including the gross-up and dividend tax credit.
Dividend Tax Assistant
Tell me about your dividends
Describe your dividends
Just tell me about your dividend income and I'll calculate the tax including gross-up and credits.
No results yet
Tell me about your dividends to see the tax breakdown
Eligible vs Non-Eligible
Eligible: From public corps, 38% gross-up, larger credit.
Non-eligible: From CCPCs, 15% gross-up, smaller credit.
How Canadian Dividend Tax Works
Canadian dividends receive preferential tax treatment through the dividend gross-up and tax credit system. This system is designed to integrate corporate and personal taxes, preventing double taxation.
The Gross-Up
When you receive a dividend, you must "gross up" the amount to reflect the pre-tax corporate income. For 2025, eligible dividends are grossed up by 38% and non-eligible dividends by 15%.
The Dividend Tax Credit
To compensate for the gross-up, you receive a dividend tax credit that reduces your tax. The federal credit is 15.02% of the grossed-up amount for eligible dividends and 9.03% for non-eligible dividends. Provincial credits vary by province.
Disclaimer: This calculator provides estimates based on 2025 tax rates. Your actual tax may vary based on your complete tax situation. Consult a tax professional.