Since the bill has received first reading and New Brunswick has a majority government, the budget measures are considered substantively enacted for purposes of IFRS and ASPE as of May 22, 2013.
Eligible and non-eligible dividends
Bill 51 also includes a technical fix for the computation of the provincial dividend tax credit applicable to eligible dividends, effective January 1, 2010. The amended provision reflects the changes to the federal gross-up for eligible dividends after December 31, 2009, and provides for a 12% provincial dividend tax credit. However, New Brunswick has not yet amended the provincial dividend tax credit applicable to non-eligible dividends to reflect any changes to the federal gross-up for non-eligible dividends received after 2013, as proposed in the 2013 federal budget.
For more information, contact your KPMG adviser.
Information is current to May 28, 2013. The information contained in this publication is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's National Tax Centre at 416.777.8500