Dividend Calculator
Calculate the taxable amount and dividend tax credit for eligible and non-eligible dividends in seconds. Built for Canadian corporations and shareholders preparing T5 slips, for the 2018 to 2026 tax years.
Other than eligible dividends
Eligible dividends
Rates by year
| Year | Non-elig. gross-up | Non-elig. DTC | Elig. gross-up | Elig. DTC |
|---|
DTC = federal dividend tax credit, as a percentage of the taxable (grossed-up) dividend. Provincial dividend tax credits are claimed on the shareholder’s personal return and are not shown on the T5.
How the numbers work
Dividends are “grossed up” to approximate the corporation’s pre-tax income, and the shareholder then receives a dividend tax credit for the tax the corporation already paid.
For example, a $10,000 non-eligible dividend is grossed up by 15% to a taxable amount of $11,500, and the federal dividend tax credit is 9.0301% of that, or $1,038.46.
This dividend calculator is for general information. It does not replace professional advice. Ask us to prepare your T5 slips.
How to use the dividend calculator
- Choose the tax year the dividend was paid.
- Pick the dividend type: non-eligible, eligible, or both.
- Enter the actual dividend paid to the shareholder.
- Copy the taxable amount and dividend tax credit onto the shareholder’s T5 slip.
Need to pay yourself from your corporation? Read salary vs. dividends or see our corporate tax services.
Dividend calculator FAQs
What is a dividend calculator?
A dividend calculator works out how a dividend from a Canadian corporation is taxed. It applies the gross-up to find the taxable amount of the dividend and then calculates the federal dividend tax credit. Our dividend calculator shows the results as the box numbers used on the T5 slip.
What is the difference between eligible and non-eligible dividends?
Eligible dividends are generally paid from corporate income taxed at the general corporate rate. They are grossed up by 38% and get a larger dividend tax credit. Non-eligible (other than eligible) dividends are usually paid from income taxed at the small business rate. They are grossed up by 15% and get a smaller credit.
How is the dividend tax credit calculated?
First the actual dividend is grossed up: multiplied by 1.15 for non-eligible dividends or 1.38 for eligible dividends. The federal dividend tax credit is then 9.0301% (non-eligible) or 15.0198% (eligible) of that grossed-up amount. Each province adds its own dividend tax credit on the personal return.
Which T5 boxes does the dividend calculator fill in?
For non-eligible dividends: Box 10 (actual amount), Box 11 (taxable amount) and Box 12 (dividend tax credit). For eligible dividends: Box 24 (actual amount), Box 25 (taxable amount) and Box 26 (dividend tax credit).
Did the dividend gross-up change for 2026?
No. For 2026 the gross-up is 15% for non-eligible dividends and 38% for eligible dividends, the same as every year since 2019. The federal dividend tax credit rates are also unchanged.
When are T5 slips due?
T5 slips and the T5 Summary are due by the last day of February after the year the dividends were paid. For dividends paid in 2026, the deadline is March 1, 2027, because February 28 falls on a Sunday.
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