[Verse 1] When a corporation shares its wealth around Four different ways the money can be found Paid-up capital tells us what's invested clean The baseline for distributions, here's what it means [Chorus] PUC is key, dividends flow free Eligible gets the credit, non-eligible you see Capital dividends tax-free ride Return of capital by your side Four distributions, know them well Section eighty-four has tales to tell [Verse 2] Eligible dividends from Canadian corps that pay High tax rates get gross-up, enhanced credit comes your way Non-eligible from small biz income earned Lower gross-up rate, less credit to be learned [Chorus] PUC is key, dividends flow free Eligible gets the credit, non-eligible you see Capital dividends tax-free ride Return of capital by your side Four distributions, know them well Section eighty-four has tales to tell [Verse 3] Capital Dividend Account tracks gains that don't get taxed Half of capital gains and life insurance facts When paid out as capital dividends they're free No tax burden for you and me [Bridge] Return of capital gives you back your base Reduces ACB without a tax embrace But when distributions exceed PUC's amount Deemed dividends in section eighty-four we count [Verse 4] Share redemptions and wind-ups trigger deemed div rules Proceeds minus PUC, these are the tools Section eighty-four catches excess flow Treats surplus as dividends, now you know [Chorus] PUC is key, dividends flow free Eligible gets the credit, non-eligible you see Capital dividends tax-free ride Return of capital by your side Four distributions, know them well Section eighty-four has tales to tell [Outro] Four ways corporate money flows Now you know how each one goes From PUC to deemed dividends Corporate distributions comprehend
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