2017 Tax Comparison of Canadian Dividends vs Interest

The tables on this page compare taxes payable by province/territory in 2017 for three different types of investment income:

- Canadian eligible dividends

- Canadian non-eligible Canadian dividends, and

- other investment income such as foreign dividends and interest.

The calculations assume that the income is earned by a single person, and that there is no other type of income included in taxable income. The tax rates used are as known on May 29, 2017. The total taxes payable include any alternative minimum tax, where applicable.

Taxes Payable on Eligible Dividends

Note: Eligible dividends gross-up % is 38%, as it has been since 2012.

Actual Eligible Dividends	Taxable Income	Total Federal + Provincial Income Taxes Payable (Refundable) in 2017
Actual Eligible Dividends	Taxable Income	AB	BC	MB	NB	NL	NS	NT	NU	ON	PE	QC	SK	YT
$30,000	$41,400	$0	$780	$351	$0	$907	$0	$(680)	$(828)	$450	$0	$810	$0	$0
50,000	69,000	0	900	1,709	0	3,819	1,810	(942)	(1,200)	600	344	2,309	0	0
60,000	82,800	1,601	2,488	4,755	1,818	7,346	4,712	757	499	2,337	3,022	4,568	1,749	1,676
80,000	110,400	4,764	5,645	10,582	5,083	13,587	10,282	3,967	3,972	5,494	8,001	10,622	4,982	4,875
100,000	138,000	7,753	8,634	16,161	8,066	19,689	15,652	6,953	7,922	9,821	12,695	17,150	8,270	7,862

Taxes Payable on Non-Eligible Dividends

Note: Non-eligible dividends gross-up % is 17% in 2017.

Actual Non-eligible Dividends	Taxable Income	Total Federal + Provincial Income Taxes Payable in 2017
Actual Non-eligible Dividends	Taxable Income	AB	BC	MB	NB	NL	NS	NT	NU	ON	PE	QC	SK	YT
$15,000	$17,550	$0	$(24)	$685	$0	$0	$40	$(381)	$(351)	$0	$62	$131	$0	$0
30,000	35,100	872	1,166	2,585	1,217	1,044	1,510	(601)	(702)	300	1,694	1,569	864	400
50,000	58,500	4,266	4,152	6,952	5,270	5,341	5,796	699	950	2,768	5,776	5,603	4,424	3,056
60,000	70,200	6,347	5,965	9,621	7,792	8,015	8,513	1,792	2,566	4,504	8,382	8,187	6,689	4,909
80,000	93,600	10,608	10,208	15,942	13,128	13,586	14,071	5,068	6,077	9,043	14,008	13,776	11,318	8,747
100,000	117,000	16,057	16,403	23,452	19,856	20,186	21,009	10,141	11,124	15,736	20,824	21,196	17,135	14,184

Taxes Payable on Other Income (foreign dividends, interest, etc.)

Interest Income	Taxable Income	Total Federal + Provincial Income Taxes Payable in 2017
Interest Income	Taxable Income	AB	BC	MB	NB	NL	NS	NT	NU	ON	PE	QC	SK	YT
$15,000	$15,000	$505	$430	$1,001	$505	$505	$778	$197	$280	$522	$825	$444	$505	$720
30,000	30,000	3,886	3,953	4,993	4,465	4,584	4,672	3,145	2,830	4,056	4,895	5,528	4,253	3,930
50,000	50,000	9,110	9,185	10,739	10,321	10,368	10,886	7,532	6,640	8,910	10,800	11,712	9,723	8,541
60,000	60,000	12,160	12,005	14,064	13,853	14,068	14,445	10,342	9,190	11,875	14,230	15,518	13,048	11,491
80,000	80,000	18,260	17,707	21,272	20,917	21,576	21,879	16,102	14,690	18,059	21,554	23,142	19,698	17,391
100,000	100,000	24,810	24,548	29,302	28,735	29,386	29,820	22,977	20,889	25,681	29,471	31,724	26,798	23,895

Notes re all three tables:

	BC includes MSP premiums payable for 2018 based on 2017 income.
	Ontario - includes Ontario Health Premium.
	QC includes contribution to the health services fund and prescription drug insurance plan premiums.
	QC taxes are net of tax credit for person living alone.

To see the tax results for your own income situation, and how it would change if the type of investment income changes, use our Income Tax Planning Calculators, in particular the Investment Income Tax Calculator. However, the Investment Income Tax Calculator does not include BC MSP in the total taxes, because MSP is not actually part of the income tax system. In the detailed Canadian Income Tax and RRSP Savings Calculator, the BC MSP is shown at the bottom of the calculator, but not included in the total taxes payable.

TaxTips.ca Resources

Tax Comparison of Investment Income for Seniors

Tax Comparisons of Taxes Payable on Employment Income by Province and Territory

Tax Tip: Interest and foreign dividends are not as tax-efficient as Canadian dividends!

Revised: October 26, 2023