Recents changes – Investments
FEDERAL
A number of factors have to be considered when acquiring an investment, in particular the inherent risk as well as the individual's risk tolerance. The after-tax rate of return is still often a determining factor in this regard. The following table presents a comparison of pre-tax returns on various investment categories. These calculations are based on the maximum marginal tax rate. Thus, in Quebec, an eligible dividend of 3.12% before taxes is equal to a 4% interest return before taxes, for a net tax return of about 1.9% in both cases.
2025 | Pre-tax interest rate of (%) | Provides the same after-tax return as | ||
|---|---|---|---|---|
Capital gain | Eligible dividend | Other dividend | ||
at a pre-tax rate of: (%) | ||||
Quebec | 4 | 2.55 | 3.12 | 3.64 |
5 | 3.18 | 3.90 | 4.55 | |
6 | 3.82 | 4.68 | 5.46 | |
7 | 4.46 | 5.46 | 6.37 | |
Ontario | 4 | 2.54 | 3.06 | 3.56 |
5 | 3.17 | 3.83 | 4.45 | |
6 | 3.81 | 4.60 | 5.34 | |
7 | 4.44 | 5.36 | 6.22 | |
New Brunswick | 4 | 2.58 | 2.81 | 3.57 |
5 | 3.22 | 3.51 | 4.47 | |
6 | 3.86 | 4.22 | 5.36 | |
7 | 4.51 | 4.92 | 6.25 | |