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Notes, continued

(3) Alberta’s DTC rate on non-eligible dividends decreased to 3.1% (from 3.5%) of the taxable

amount of the dividend effective January 1, 2014.

(4) The 2014 Saskatchewan budget increased the province’s DTC rate on non-eligible

dividends to 3.4% (from 3.05%) of the taxable amount of the dividend effective January 1,

2014.

(5) Manitoba’s DTC on non-eligible dividends decreased to 0.83% (from 1.75%) of the taxable

amount of the dividend effective January 1, 2014.

(6) The 2014 Ontario budget proposed to create a new personal income tax bracket effective

January 1, 2014 for taxable income between $150,000 and $220,000. The budget also

proposed to lower the taxable income threshold for the top tax bracket from $514,090 to

$220,000 effective January 1, 2014 (see the table “Federal and Provincial/Territorial Income

Tax Rates and Brackets for 2014 and 2015”). These rates and brackets may be subject to

change pending the results of the June 12 provincial election.

(7) Ontario’s 2013 Economic Update proposed to reset the 2014 provincial DTC rate on non-

eligible dividends to the 2013 rate of 4.5% effective January 1, 2014. The province also

proposed to calculate the Ontario surtax before deducting any dividend tax credits from

Ontario tax.

(8) Quebec’s DTC rate on non-eligible dividends decreased to 7.05% (from 8.0%) of the

taxable amount of the dividend effective January 1, 2014.

(9) New Brunswick’s DTC rate on non-eligible dividends is 5.3% but the legislation has not yet

been amended to reflect this rate.

(10) Prince Edward Island’s DTC rate on non-eligible dividends increased to 3.2% (from 2.9%)

of the taxable amount of the dividend effective January 1, 2014.

(11) The 2014 Newfoundland and Labrador budget proposed to decrease the province’s DTC

rate on non-eligible dividends to 4.1% (from 5.0%) of the taxable amount of the dividend

effective July 1, 2014.

Individual Marginal Tax Rates for Non-Eligible Dividends

1,2

—2014