Glossary term
Non-eligible dividend
A non-eligible dividend is a Canadian taxable dividend category that uses a different gross-up and dividend tax credit treatment than eligible dividends.
Plain meaning
What non-eligible dividend means
Non-eligible dividends are sometimes called other-than-eligible dividends in tax data. They are not taxed the same way as eligible dividends because the gross-up and credit rates differ.
Common wording
Why the wording matters
OpenBook uses non-eligible dividend as the user-facing term. Some tax references may use other-than-eligible dividend. The term ineligible dividend should generally be avoided unless a source uses it directly.