[Verse 1]
Canadian corporations pay dividends to their shareholders
Eligible from public companies, enhanced refundable credits there
Non-eligible from private CCPCs, smaller dividend tax breaks
Gross-up inflates your income, but credits compensate what tax takes
[Chorus]
Gross it up, credit down, that's the dividend dance
Thirty-eight percent boost for eligible stance
Fifteen percent lift for non-eligible flow
Credits bring your taxes lower than you'd owe
[Verse 2]
Eligible dividends multiply by one-point-three-eight
Add that grossed-up figure to your income slate
Federal credit's thirty-eight percent of gross-up amount
Provincial credits vary, but together they count
[Chorus]
Gross it up, credit down, that's the dividend dance
Thirty-eight percent boost for eligible stance
Fifteen percent lift for non-eligible flow
Credits bring your taxes lower than you'd owe
[Verse 3]
Non-eligible dividends get smaller treatment here
Multiply by one-point-one-five, the gross-up's clear
Federal credit's twenty-five percent of that increase
Provincial rates diverge, but integration brings peace
[Bridge]
Integration theory prevents double taxation's sting
Corporate tax plus personal should equal same thing
Whether earned as salary or dividend received
Perfect integration's the goal to be achieved
[Chorus]
Gross it up, credit down, that's the dividend dance
Thirty-eight percent boost for eligible stance
Fifteen percent lift for non-eligible flow
Credits bring your taxes lower than you'd owe
[Outro]
Refundable dividend tax on hand tracks corporate side
When dividends flow out, refunds coincide
Individual taxation meets corporate design
Dividend gross-up and credits keep the system aligned