Sherry's marginal federal tax rate is 29 percent

Accounting Nov 30, 2020

Sherry's marginal federal tax rate is 29 percent. She lives in a province where her provin- cial marginal tax rate is 17.5 percent and the provincial dividend tax credit is 31 percent of the dividend gross up. If Sherry receives an eligible dividend of $16,000 from a Canadian public corporation in 2019, how much will she pay in income tax (federal + provincial)? HINT - you need to find the appropriate federal dividend tax credit. Group of answer choices $5,066 $2,827 $6,150 $8,382

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