TaxTips.ca
Canadian Tax and
Financial Information
Saskatchewan Dividend Tax Credit

Ads keep this website free for you.
TaxTips.ca does not research or endorse any product or service appearing in ads on this site.  Before making a major financial decision you  should consult a qualified professional.

Looking for US tax information?
See
USTaxTips.net

Need an accounting, tax or financial advisor? Look in our Directory.      Stay Connected with TaxTips.ca!

Home
What's New
Calculators
Personal Tax
Business
Sales Taxes
Free in 30!
Financial Planning
RRSP RRIF TFSA
Real Estate
Stocks Bonds etc.
Seniors
Disabilities
Canada
Alberta
British Columbia
Manitoba
Ontario
Quebec
Saskatchewan
Atlantic Provinces
Territories
Federal Budget
Provincial Budgets
Statistics etc.
Glossary
Site Map
Directory
Advertise With Us
Contact Us/About Us
Links & Resources


 

Saskatchewan   ->   Dividend tax credit

Saskatchewan Dividend Tax Credits

SK Income Tax Act, 2000 s. 32
Bill 87, an Act to amend The Income Tax Act, 2000

Saskatchewan Enhanced Dividend Tax Credit for Eligible Dividends

Saskatchewan enhanced dividend tax credit credit rates for eligible dividends are defined as a percentage of the Federal gross-up amount.

Saskatchewan Enhanced Dividend Tax Credit

Year 2009 2010 2011 2012-
2016
2017 2018+
Gross-up % 45% 44% 41% 38% 38% 38%
enhanced dividend tax credit as a % of
gross-up 35.44% 36.00% 37.83% 39.95% 39.039% 39.95%
taxable (grossed-up) dividends 11% 11% 11% 11% 10.75% 11%
actual dividends 15.95% 15.84% 15.51% 15.18% 14.83% 15.18%

Saskatchewan's 2017 Budget announced that the dividend tax rate as a percentage of the taxable dividend would be reduced in 1/4 point increments each year from 2017 to 2020.  However, this was revised with their November 6, 2017 Bill 84, which received Royal Assent on November 7, which revised the 2018 rate from 38.132% of the gross-up (10.5% of the taxable dividend) to 39.95%, or 11% of the taxable dividend, for 2018 and subsequent taxation years.

Saskatchewan Dividend Tax Credit for Non-eligible Dividends

SK Income Tax Act 2000 s. 32

The Federal 2017 Fall Economic Statement announced that the gross-up rate for non-eligible dividends (also know as regular dividends, or small business dividends) would be reduced to 16% for 2018, and to 15% for 2019 and later years.

Bill 22, which received Royal Assent on June 30, 2016, revised the non-eligible dividend tax credit rate to 23.173% of the federal gross-up, resulting in a tax credit of 3.367% of the taxable dividend.  SK Finance has confirmed that this will not be rounded to 3.4% on tax forms.

The current and past Saskatchewan rates for non-eligible dividends are shown in the following table.  The 2018 and later rates will be in effect unless legislative changes are made by Saskatchewan.

     SK Dividend Tax Credit Rate for Non-Eligible Dividends

Year Gross-up
Rate
%of Federal
Gross-up
% of Grossed-up
Dividend
% of Actual
Dividend
2019+ 15% 23.173% 3.023% 3.076%
2018 16% 23.173% 3.196% 3.708%
2016/2017 17% 23.173% 3.367% 3.939%
2014/2015 18% 22.29% 3.4% 4.01%
2012/2013 25% 20% 4.0% 5.00%
2011 25% 25% 5.0% 6.25%

The Saskatchewan table of marginal tax rates shows the marginal tax rates for eligible and non-eligible dividends and other income.

Revised: November 30, 2017

 

Copyright © 2002 Boat Harbour Investments Ltd. All Rights Reserved.  See Reproduction of information from TaxTips.ca

Facebook  | Twitter  |  Google + |  Monthly Newsletter Sign-up  What’s New E-mail Notification RSS News Feed
The information on this site is not intended to be a substitute for professional advice.  Each person's situation differs, and a professional advisor can assist you in using the information on this web site to your best advantage. 
Please see our legal disclaimer regarding the use of information on our site, and our Privacy Policy regarding information that may be collected from visitors to our site.