Non-Eligible Dividend

Taxable income is what is left after you total the income the tax rules include and subtract the deductions you are allowed. Employment and self-employment earnings, most pensions, EI and CPP benefits, interest, dividends, rental profit, the taxable portion of capital gains, RRSP and RRIF withdrawals and most taxable benefits from work all go into the total. Tax is then calculated on that figure and reduced by non-refundable credits such as the basic personal amount.

The HST is a single sales tax blending the federal 5% GST with a participating province's own sales tax, collected and administered by the CRA. For 2026 it is 13% in Ontario, 14% in Nova Scotia since 1 April 2025, and 15% in New Brunswick, Newfoundland and Labrador, and Prince Edward Island. A registrant charges HST on taxable supplies, claims input tax credits on its purchases, and remits the difference on one return. Elsewhere you charge the 5% GST plus any separate provincial tax.

No. Property tax is a municipal levy based on your property’s assessed value, not a charge for a service you consume, so it is not a utility bill even where a city bills water on the same statement. The difference matters when you claim expenses: for a rental or a home office, property tax and utilities are separate lines, each apportioned to the business-use share. Keep the municipal tax bill itself as your record.

Taxes fund public services at three levels of government. Federal revenue pays for transfers to the provinces, benefit programmes for families and seniors, defence, debt interest and federal departments. Provincial revenue pays mainly for health care, education and social services. Municipal property tax pays for local services such as roads, water, waste collection, policing, fire and libraries. CPP contributions and EI premiums are separate contributory programmes with their own accounts rather than general tax revenue.