ABC Ltd. receives $12,000 in dividends from a non-connected corporation, Telus Corp. Which of the following is INCORRECT?

Income Tax Fundamentals 2020
38th Edition
ISBN:9780357391129
Author:WHITTENBURG
Publisher:WHITTENBURG
Chapter11: The Corporate Income Tax
Section: Chapter Questions
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ABC Ltd. receives $12,000 in dividends from a non-connected corporation, Telus Corp. Which of the following is INCORRECT?

a. ABC Ltd. owns more than 10% of the shares of Telus Corp.

b. Part IV Tax Payable = $4,600.

c. Dividends from non-connected corporations like Telus Corp. are often referred to as portfolio dividends.

d. ABC Ltd. owns less than 10% of the shares of Telus Corp.

e. Dividends from non-connected corporations are always subject to Part IV tax payable.

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