Dividend Withholding Tax in Canada

Dividend Withholding Tax in Canada

Canada levies dividend withholding tax. The Canadian dividend withholding tax rate on distributions to foreign shareholders is 25%.

Canadian dividend withholding tax recovery (forms to use, statute of limitations)

How to get a refund of Canadian dividend withholding tax

Canadian dividend withholding tax may be reduced, or in some situations even eliminated, under Canada’s double tax treaties. Generally, the CRA can refund excess non-resident tax withheld if you complete and send the CRA Form NR7-R no later than two years after the end of the calendar year in which the payer sent the CRA the tax withheld. Depending on the tax treaty Canada has signed with your country or region of residence, the period during which you can get a refund may be longer.

More detailed information can be found here: https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/t4058/non-residents-income-tax.html#P389_51139

Learn more about what dividend tax withholding is or about dividend tax withholding in other countries.

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