Dividend Tax Info
Tax treatment of dividends differs for shareholders depending on their country of residence. For more information, please review the sections below:
Unless otherwise indicated, common and preferred share dividends paid by Enbridge Inc. (ENB), either in Cdn or US dollars, will be designated as “eligible dividends” for Canadian income tax purposes except as described below*. An eligible dividend paid to a Canadian resident is entitled to the enhanced dividend credit.
Canadian beneficial shareholders who received dividends outside of an TFSA, RRSP, RRIF or DPSP should receive a T5 Supplementary slip from their brokerage firm or intermediary. Canadian registered shareholders will receive a T5 Supplementary slip from Computershare Trust Company of Canada. The deadline for issuance of T5 Supplementary slips is on or before the last day of February following the calendar year to which the information applies. Please refer questions regarding the T5 slips directly to your brokerage firm or Computershare Trust Company of Canada at 1-800-276-9479. If you have any questions regarding the taxation of eligible dividends, please contact your Canadian tax advisor or your local office of the Canada Revenue Agency.
Common share dividends paid by Enbridge Inc. will be subject to Canadian withholding tax at the rate of 25% unless the rate is reduced under the provisions of a tax treaty between Canada and the non-resident shareholder’s jurisdiction of residence. Where the non-resident shareholder is a United States resident entitled to benefits under the Canada-U.S. tax treaty, the rate of Canadian withholding tax on dividends is generally reduced to 15%. You may be eligible to claim a credit or deduction against your local taxes with respect to these Canadian non-resident withholding taxes.
Enbridge Inc. is considered to be “a qualified foreign corporation” and the dividends paid on its common shares are considered to be “qualified dividends” as those terms are defined in the U.S. Internal Revenue Code”. If you have any questions regarding the taxation of Canadian dividends in your local jurisdiction, please contact your local tax advisor.